Oracle Loses Challenge to $10 Billion Pentagon Cloud Contract
- Ruling sets up contest between Amazon and Microsoft for deal
- Judge denies Oracle’s claims of bias, conflicts of interest
Oracle headquarters stands in Redwood City, California.
Photographer: David Paul Morris/Bloomberg
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Oracle Corp. lost its legal challenge to the Pentagon’s $10 billion cloud contract on Friday, clearing the way for the government to award the contract to Amazon.com Inc. or Microsoft Corp.
Federal Claims Court Senior Judge Eric Bruggink dismissed the company’s argument that the contract violates federal procurement laws and is unfairly tainted by conflicts of interests. Bruggink said that because Oracle didn’t meet the criteria for the bid, it “cannot demonstrate prejudice as a result of other possible errors in the procurement process.”