5 years, 2 months ago

Judge halts Microsoft work on Pentagon cloud deal after Amazon suit alleges bias

A federal judge temporarily blocked Microsoft Corp. from working on a $10 billion Pentagon cloud-computing contract after Amazon.com Inc. asked for the delay, a surprise win for the company as it challenges the validity of the award over allegations that President Donald Trump interfered. Pentagon spokesman Robert Carver said in a statement that the ruling unnecessarily delays implementation of the cloud contract and deprives “warfighters of a set of capabilities they urgently need.” Microsoft spokesman Frank Shaw said the company was “disappointed” in the ruling and reiterated that the Pentagon’s procurement process was fair. Amazon Web Services, Amazon’s cloud computing division, filed a lawsuit in November alleging the Defense Department failed to fairly judge its bid for the contract because Trump viewed Amazon Chief Executive Officer Jeff Bezos as his “political enemy.” Amazon earlier asked the U.S. Court of Federal Claims to allow it to question Trump and top Pentagon leaders to seek additional evidence that might show political interference cost the company the cloud deal. Among the leaders Amazon seeks to depose are Trump, former Defense Secretary James Mattis, Defense Secretary Mark Esper and Dana Deasy, the Pentagon’s chief information officer. The government also asked the court to reject Amazon’s request to temporarily block work on the contract, arguing that such a pause would compromise national security and drain taxpayer money.

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