Skip to Content

General Dynamics Wins $7.6 Billion Contract to Supply Microsoft Office Software to the Pentagon

A subsidiary of General Dynamics has been awarded a Pentagon contract worth an estimated $7.6 billion over 10 years. Under the agreement, CSRA, part of GD’s IT unit, will provide the Pentagon with Microsoft 360 cloud-based office and productivity software including word processing and email, Bloomberg reports.

The services are referred to as Defense Enterprise Office Solutions, or DEOS. Defense Department Chief Information Officer Dana Deasy described DEOS as part of DoD’s “multi-cloud strategy” in a statement to Bloomberg.

Another piece of the multi-cloud strategy is a more controversial project known as JEDI, or Joint Enterprise Defense Infrastructure. That system is intended to support AI applications and smooth communication with the front lines, and could be worth as much as $10 billion.

But JEDI has been beset by a troubled procurement process, which is currently being audited, and ethical concerns that pushed Google to bow out on bidding for the project.

General Dynamics acquired CSRA in early 2018 in a deal valued at $9.6 billion.

More must-read stories from Fortune:

—How Reliance Jio became India’s wireless wonder
—Google is cracking down on internal political debates
Apple card review: A (mostly) rewarding way to pay
—No humans needed: Chinese company uses A.I. to read books and the news
—ProPublica: How Amazon and Silicon Valley seduced the Pentagon
Catch up with Data Sheet, Fortune's daily digest on the business of tech.