Home Tech Pentagon Cancels $10 Billion JEDI Cloud-Computing Contract

Pentagon Cancels $10 Billion JEDI Cloud-Computing Contract

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The Defense Department said on Tuesday that it would not go forward with a lucrative cloud-computing contract that had become the subject of a contentious legal battle amid claims of interference by the Trump administration.

The Pentagon had warned Congress in January that it would walk away from the contract if a federal court agreed to consider whether former President Donald J. Trump interfered in a process that awarded the $10 billion contract to Microsoft over its tech rival Amazon, saying that the question would result in lengthy litigation and untenable delays.

The Defense Department said Tuesday in a news release that the contract for the Joint Enterprise Defense Infrastructure, known as JEDI, “no longer meets its needs,” but it would solicit bids from Amazon and Microsoft on future cloud-computing contracts.

A senior administration official said that soon after the Biden administration took office, it began a review that quickly concluded the…

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