Amazon Web Services (AWS) has received a favorable decision from a U.S. court in its dispute with IBM over a contract awarded to AWS by the Central Intelligence Agency.
Following oral arguments, U.S. Court of Federal Claims Judge Thomas Wheeler ruled against IBM in a dispute that started when the Central Intelligence Agency (CIA) awarded a cloud computing contract to Amazon Web Services (AWS).
The initial IBM protest led to a review and recommendation by the U.S. Government Accountability Office (GAO). That recommendation called for the CIA to modify parts of the contract and allow IBM to submit another bid.
At stake was a $600 million contract for public cloud services.
AWS received certification under the Federal Risk and Authorization Management Program (FedRAMP) in May, and the CIA contract bid is part of the company’s increasing effort to attract government agencies to cloud computing.
IBM expressed its disappointment in the decision and said it planned to appeal.
In other unrelated news, the National Security Agency data center reportedly suffered electrical problems that will delay its opening by a year.
A Wall Street Journal report said that the center, in Bluffdale, Utah, is one of three the NSA is building. It suffered repeated electrical surges that each caused about $100,000 in damage.
The center, which is occupies over 1 million square feet, was slated to open in October 2012. That opening has been delayed by the power problems and a six-month investigation into the cause.