Amazon says JEDI award ‘fatally flawed’ in rebuttal to Microsoft

Jeff Bezos, founder and CEO of Amazon, pictured on September 13, 2018.

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Amazon defended its decision to challenge the Pentagon’s multi-billion dollar JEDI cloud computing price on Friday after Microsoft said the company was trying to “force a redesign to save its failed offer.”

The JEDI, or Joint Enterprise Defense Infrastructure agreement, is worth up to $ 10 billion and has become one of the Defense Department’s most tangled contracts.

Microsoft won the cloud computing contract on October 25. In November, Amazon Web Services, Amazon’s cloud computing unit, filed a complaint with the United States Federal Claims Court to protest the JEDI decision. The company claims that President Donald Trump’s bias against Amazon and its CEO, Jeff Bezos, prompted the Pentagon to give the contract to Microsoft.

In one blog article posted on Friday, Amazon called the Pentagon’s JEDI award process “fatally flawed” and launched several attacks against Microsoft, claiming it was trying to “fight its way to an unfair victory.”

“Microsoft does a lot of postures,” wrote Drew Herdener, vice president of global communications for Amazon. “We understand why. No competent and objective person thinks they have the best offer. And this was further underscored by their uneven operational performance during the Covid-19 crisis (and in 2020 YTD).”

Last month, the Pentagon’s inspector general released a report saying the price did not appear to be influenced by the White House.

However, the Inspector General noted in the 313-page report that he had limited the cooperation of White House officials throughout his examination and, therefore, he could not complete his assessment of the allegations of ethical misconduct .

Defense Department spokesman Lt. Col. Robert Carver of the US Air Force said in a statement to CNBC that the Pentagon “continues to carry out the procedures outlined in the request for pre-trial detention granted last month with the goal of providing this vital capability to our fighters as quickly as possible. “

Earlier this week, AWS filed another protest offer with the Department of Defense to seek clarification on the Pentagon’s changed storage requirements. Since the specifications were not clearly defined, Amazon had “no other choice than to call on the agency to clarify it”.

Microsoft said it didn’t know the full scope of Amazon’s appeal, but that the recent Pentagon amendments “do not allow Amazon to reverse its previous commercial decision to make a high offer, which has resulted in their loss.”

This story has been updated to include a Pentagon statement.

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