BEIJING, Dec 10 (Xinhua) — Microsoft Corp. on Monday finally broke its silence in response to a lawsuit filed by Amazon Corp. to challenge the company’s $10 billion U.S. Defense Department cloud service contract. Microsoft says the bidding process is fair and that the company’s ability to win it is on its own.
“We trust our competent employees at the Department of Defense and believe that they have conducted a detailed, thorough and fair review to determine that Microsoft best meets the needs of its combatants,” a Microsoft spokesman said in a statement. Over the past two years, we have been working hard to innovate to provide better and more distinctive services to our customers. “
On October 25th the US Department of Defense awarded Microsoft a 10-year, up to $10bn contract for the United States Department of Defense’s defense infrastructure (JEDI) cloud services contract to move sensitive US Department of Defense data to the cloud.
Amazon is currently challenging the U.S. Department of Defense’s decision in the U.S. Federal Claims Court. According to documents released Monday, Amazon has accused President Donald Trump of repeatedly attacking Amazon behind the scenes in order to deny Amazon the contract, hurting Amazon CEO Jeff Bezos and his “perceived political opponents.”
Until then, some were bullish on Amazon, which believes it would win the bid because it dominates the cloud computing market and has higher security licenses than rivals such as Microsoft.
Amazon has repeatedly claimed that its technology is superior to Microsoft’s after the U.S. Department of Defense awarded the cloud contract to Microsoft. Andy Jassy, CEO of Amazon’s cloud computing service AWS, told employees last month that Amazon’s technology was at least two years ahead of Microsoft’s.
Not all analysts agree with Amazon, however. Dan Ives, an analyst at Wedbush Securities, reckons microsoft won the bid because of its technology and lobbying. He said On Monday that Amazon’s lawsuit was a “little gimmick” and would not affect Microsoft’s win over the U.S. Defense Department’s cloud contract.