Amazon Claims It Lost $10B Contract Due to Trump

It wants DOD to cancel the award to Microsoft and re-review the bids
By Kate Seamons,  Newser Staff
Posted Dec 9, 2019 2:23 PM CST

(Newser) – Amazon claims it missed out on a potentially $10 billion contract because of President Trump. That's the assertion in a lawsuit by Amazon Web Services unsealed Monday. The Department of Defense ended up handing the JEDI (Joint Enterprise Defense Infrastructure) contract to Microsoft in late October, a move that AWS alleges came after "behind-the-scenes attacks" from the president, who it alleges has a "personal vendetta against Mr. Bezos, Amazon, and the Washington Post." It wants the DOD to cancel the award and circle back to all the proposals for a fresh look. The latest:

  • CNBC reports the company alleges Trump "intervened directly in the very final phases of the two-year procurement process. ... The question is whether the President of the United States should be allowed to use the budget of DoD to pursue his own personal and political ends," the suit states.
  • By way of background, the AP reports Oracle and IBM were knocked out earlier in the process, leaving Amazon and Microsoft as the ones vying for the contract. Oracle sued, arguing the bidding was rigged in a way that benefited AWS. This summer, Trump got involved, saying he had heard the complaints and wanted the situation reviewed.

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