The Department of Defense (DoD) recently announced that two companies, Microsoft and Amazon, made the cut to compete for a contract to build the Joint Enterprise Defense Infrastructure (JEDI). The decision to allow Microsoft and Amazon to compete head-to-head for JEDI undercuts the arguments by some critics that the contract was wired for the latter. Moreover, even if Amazon were to win JEDI, this amounts to no more than 16 percent of overall Pentagon demand for cloud services. Regardless of which company, Amazon or Microsoft, wins the JEDI contract, the DoD cloud computing environment is truly a free market, in which the companies with the best offerings are likely to prevail. I have written more about this here.
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