Federal Judge Discloses Opinion on Amazon’s Key Argument in DoD JEDI Cloud Contract Challenge

Jeff Brody

A federal judge said in court documents unsealed Friday that Amazon (Nasdaq: AMZN) is likely to succeed on one of its main arguments in its protest to the Department of Defense’s decision to award Microsoft (Nasdaq: MSFT) the potential 10-year, $10B Joint Enterprise Defense Infrastructure cloud computing contract, Reuters reported Sunday.

Judge Patricia Campbell-Smith of the U.S. Court of Federal Claims said Amazon “is likely to succeed on the merits of its argument” that DoD improperly assessed Microsoft’s data storage under one price scenario.

Frank Shaw, a spokesman for Microsoft, said the company is optimistic that it will be able to move forward with the contract work since the decision disagreed with a "lone technical finding" by the Pentagon about data storage under a single price scenario. “The government makes clear that in their view Microsoft’s solution met the technical standards and performed as needed,” Shaw added.

Campbell-Smith issued in February a preliminary injunction ordering DoD to stop work on the JEDI contract in response to a lawsuit filed by Amazon in November. Amazon claimed in its legal complaint unsealed in December that President Donald Trump influenced the outcome of the JEDI cloud acquisition effort.

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