Federal Judge blocks the JEDI cloud contract

Federal Judge blocks the JEDI cloud contract

On Thursday, a federal judge had ordered a block temporarily on the contract of JEDI cloud which had been awarded to Microsoft as a response to the suit which had been filed by Amazon. The Microsoft shares had fallen on this news as the stock of Amazon had gone down slightly.

The court notice which announced the injunction had been filed on this Thursday however it was not public. There is no clarity on why these documents had been sealed.

The JEDI cloud contract has been aimed at the modernization of the IT operations of Pentagon. This contract may be worth up to the level of $10 billion for the services which have been rendered over a decade. Microsoft had awarded this contract on the 25th of October.

The AWS has been instructed for the earmarking of $42 million for any of the costs and damages which may be incurred in case the injunction is said to be issued wrongfully. Amazon is required to file a notice with the courts where it is indicating that it obtained an amount of $42 million by the 20th of February. Amazon and Microsoft are required to respond to these filings by 27th of February.

A senior official of Microsoft, Frank Shaw has said that while they are not happy with the delay which is happening, they are of the belief that they will be able to continue their move forward and ensure that those who are serving the country may access this new technology which is urgently required. They laid their faith in the departments and believed that the facts are going to show that they had complied with every required regulation.

William Bentley
Managing Editor At Packaging Industry Reports

William holds Master of Business Administration in Finance Degree and leads the team of 7 writers at Packaging Industry Reports. He has deep knowledge of share market and has a long record of being a famous trading consultant in the Business industry from last 10 years. Although William has no family background of business, he demonstrated a keen interest in the business activities from his school days. While he can write news on any topic related to the Business field, he is more focused on the topics that show the impact of advanced technologies in this field. He always keeps himself updated with the latest computer skills.

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