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Amazon wins key ruling over IBM in CIA cloud contract combat

Amazon net products and services received a key court docket ruling Monday in its combat with IBM over a $600 million contract to construct a cloud infrastructure for the critical Intelligence agency.

After hearing arguments on the matter Monday, decide Thomas Wheeler of the U.S. court of Federal Claims dominated lately in choose of Amazon’s request for judgment on the executive report within the subject. The written textual content of the opinion has no longer yet been revealed however is expected shortly.

An IBM remark indicated it wills attraction the ruling.

“We’re disillusioned with the ruling from the U.S. court of Federal Claims, reversing the GAO’s advice to reopen the competition and proper flaws within the bidding course of,” the company mentioned in a commentary. “IBM plans to attraction this choice. This court docket determination seems especially inappropriate in light of the present times, considering that IBM’s bid used to be sophisticated in many ways, together with being substantially less expensive. In addition, IBM has for many years supplied the federal government with proven mission-critical operations. The corporate remains dedicated to offer stable, dependable and robust cloud solutions to federal businesses.”

CNET has contacted Amazon for comment and will replace this report once we analyze extra.

After the Seattle-primarily based firm received the contract to construct an internet infrastructure for the CIA, rival contract bidder IBM protested, arguing that Amazon had now not glad all of the criteria for the contract. The federal government Accountability place of job, the company tasked with evaluating government contracts and recommending challenges, agreed with IBM and reopened the bidding process, prompting Amazon to sue.