DOD whose headquarter is Pentagon decided to develop JEDI cloud within a 10 year contract of an estimate 10 Billion Dollars’ worth. The announcement of the deal was made in around January 2018 initiating a war between major cloud companies including Oracle. Unfortunately, IBM along with Oracle were ruled out for failing to meet the requirement. While Google didn’t even considered the deal quoting value and ethics concerns.
That leaves Microsoft and Amazon the only ones in the competition and definitely one of them will be getting the contract. But Oracle found it unlawful and denting the public trust and so appealed to the court. As a result, Federal Court Senior Judge Eric Bruggink finally decided that Oracle failed to meet the requirements. Oracle could not stop at this though, it now filed another appeal on Tuesday against Federal claims court ruling.
Oracle believes the bidding war was unfairly inclined towards Amazon. Oracle filed the appeal in opposition that the Pentagon created the contract having Amazon in the mind from the start and is filled with conflicts of interest.
Although the U.S. Court of Federal Claims said Oracle could not “demonstrate prejudice” the company would challenge that ruling.
General counsel for Oracle, Dorian Daley said Tuesday, that he believes The Court of Federal Claims opinion suffers from many significant conflicts of interest. He said, “These conflicts violate the law and undermine the public trust. As a threshold matter, we believe that the determination of no standing is wrong as a matter of law, and the very analysis in the opinion compels a determination that the procurement was unlawful on several grounds.”
Oracle’s Safra Catz even met with the president in April, 2018 to complain about the unfairness of the contract. President Trump been posting anti-Amazon tweets ever since. Whether it draws out any favorable results or not it does seem to be delaying Pentagon’s JEDI cloud contract decision that might take longer than initially planned.
a DoD spokeswoman Elissa Smith said in a statement, “DOD is aware of Oracle’s intent to appeal and will review it along with the Department of Justice. As DOD has asserted throughout this litigation, and as confirmed by the court, DOD reasonably evaluated and equally treated all offerers within the framework of a full and open competition. DOD’s priority remains delivering critically needed capabilities to the warfighter while protecting taxpayer resources.”
New Defense Secretary Mark Esper also ordered an internal review shortly. DOD CIO Dana Deasy and his team is currently corrected some facts regarding JEDI and will brief Esper over next several weeks. Also it’s been decided that DOD will not make award under JEDI until Esper Review is completed.