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Amazon, Microsoft Trade Fresh Barbs in Ongoing JEDI Dispute


Microsoft (NASDAQ: MSFT) and Amazon.com (NASDAQ: AMZN) traded a new round of shots in their ongoing fight over a $10 billion defense cloud computing contract award on Friday, with Microsoft urging Amazon to stand down but Amazon vowing to press on.

The Pentagon's in October awarded the Joint Enterprise Defense Infrastructure (JEDI) contract to Microsoft, a decision that caught many by surprise as Amazon was considered the front-runner by most analysts. In November, Amazon filed suit to try to reverse the award, claiming that Trump's long-standing feud with Amazon and its CEO Jeff Bezos caused him to get involved and steer the contract to Microsoft.

The two sides have been battling it out ever since. The Pentagon's Inspector General weighed in in April with a mixed verdict, finding that the Department of Defense followed proper procedures when picking Microsoft but saying it was unable to conduct a thorough review of whether there was White House interference because presidential communications privilege was asserted.

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Source Fool.com

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