Pentagon clarifies cloud competition -- again

By Tony Bertuca / April 19, 2018 at 12:45 PM

(Editor's note: This story was updated after the Pentagon clarified Chief Spokeswoman Dana White's initial comments.)

The Pentagon said today its controversial cloud contract could be won by a single vendor for a period of two years, but stressed that an initial victory did not guarantee eight additional option years.

Seeking to tamp down media reports and rumors that the competition is being angled toward Amazon, Dana White, the Pentagon's chief spokeswoman, said it is possible the Defense Department could choose another cloud provider after two years with a single vendor.

"The first two years will be awarded as a single-award contract," she said. "After those two years, we have the option to determine what happens next in that five-year option period."

A third option period could extend the contract for an additional three years.

Some companies have voiced concerns that a single cloud provider could end up with what amounts to a single, 10-year contract.

White said she wanted to “separate fact from fiction.”

“It is not a 10-year contract,” she said. “The single-award strategy is appropriate today because of the current marketplace. After the initial two-year contract period, we will re-examine the marketplace and make a decision about the capabilities we need for the next option period.”

White said 46 vendors have replied to a draft request for proposals.

"We are conducting a full and open competition," she said. "It is a single-award contract, it is not a sole-source contract and it is not designed with a specific vendor or company in mind."

In fact, White said, multiple vendors may form partnerships. "We wanted competition and now we have it," she said.

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