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Pentagon to reconsider elements of $10bn JEDI contract awarded to Microsoft

(Image credit: Pixabay)

The US Department of Defence (DoD) has asked for permission to reconsider specific aspects of its decision to award Microsoft its $10 billion JEDI cloud contract, Reuters reported.

JEDI is designed to facilitate a significant upgrade to the Pentagon's IT operations and computing capabilities. It was awarded to Microsoft in October, prompting its main competitor Amazon to issue an appeal that resulted in the suspension of the project.

Lawyers representing the US government are now asking for “120 days to reconsider certain aspects of the challenged agency decision,” according to a DoD filing to the US Court of Federal Claims.

“DoD does not intend to conduct discussions with offerors or to accept proposal revisions with respect to any aspect of the solicitation other than price scenario,” the filing reads.

Amazon has celebrated the decision, which it hopes could see the contract withdrawn from Microsoft entirely.

“We are pleased that the DoD has acknowledged ‘substantial and legitimate’ issues that affected the JEDI award decision, and that corrective action is necessary,” said an Amazon spokesperson.

Microsoft has reaffirmed its belief the contract was awarded to the most suitable candidate, and expressed hope the situation will be resolved swiftly.

“We support their decision to reconsider a small number of factors as it is likely the fastest way to resolve all issues and quickly provide the needed modern technology to people across our armed forces,” the company said.