Why 9 Rival Companies Are Working Together to Thwart Amazon

A $10 billion cloud contract from the Pentagon has created strange bedfellows in Silicon Valley.

While Google employees have successfully forced their company to vow publicly that it would go easy on the cloud contracts with Defense Department, other large tech companies have no such qualms.

Quite the reverse: A group of at least nine of them have set aside their rivalries to work together in the hope of forcing the Pentagon to divvy up its $10 billion cloud to multiple vendors, Bloomberg's Naomi Nix reports. The contract is known as the Joint Enterprise Defense Infrastructure, or JEDI.

These vendors — many of which have decades-long heated rivalries — are Oracle, SAP America, General Dynamics's CSRA unit, Red Hat, VMware, Microsoft, IBM, Dell Technologies, and Hewlett Packard, Bloomberg reports.

As we previously reported, Amazon, the leader in cloud computing, is a near shoo-in to win the whole contract for itself, which was originally set up to be a awarded to a single cloud provider.

Full story at Business Insider

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