Slashdot Mirror


Is Amazon Rigging the Bidding For Massive Government Contracts? (vanityfair.com)

SpzToid quotes Vanity Fair: The controversy involves a plan to move all of the Defense Department's data -- classified and unclassified -- on to the cloud. The information is currently strewn across some 400 centers, and the Pentagon's top brass believes that consolidating it into one cloud-based system, the way the CIA did in 2013, will make it more secure and accessible. That's why, on July 26, the Defense Department issued a request for proposals called JEDI, short for Joint Enterprise Defense Infrastructure. Whoever winds up landing the winner-take-all contract will be awarded $10 billion -- instantly becoming one of America's biggest federal contractors.

But when JEDI was issued, on the day Congress recessed for the summer, the deal appeared to be rigged in favor of a single provider: Amazon. According to insiders familiar with the 1,375-page request for proposal, the language contains a host of technical stipulations that only Amazon can meet, making it hard for other leading cloud-services providers to win -- or even apply for -- the contract. One provision, for instance, stipulates that bidders must already generate more than $2 billion a year in commercial cloud revenues -- a "bigger is better" requirement that rules out all but a few of Amazon's rivals... Much of the language of JEDI, in fact, seems specifically tailored for Jeff Bezos. "Everybody immediately knew that it was for Amazon," says a rival bidder who asked not to be named. To even make a bid, a provider must maintain a distance of at least 150 miles between its data centers and provide "32 GB of RAM" -- specifications that few providers other than Amazon can meet.

The article also cites last year's "so-called Amazon amendment, a provision buried in a defense authorization bill that will establish Amazon as the go-to portal for every online purchase the government makes -- some $53 billion every year." And it also notes that Amazon employs more than 100 lobbyists in Washington, and "has spent $67 million on lobbying since 2000 -- including more this year than Citigroup, JP Morgan Chase, and Wells Fargo combined."

The article says this controversy may be "a sign of how tech giants and Silicon Valley tycoons will dominate Washington for generations to come."

2 of 128 comments (clear)

  1. bad summary, are their real Amazon based clauses? by gravewax · · Score: 5, Insightful

    Is that a joke summary? seriously I hate Amazon but none of the 3 sample clauses seem at all unreasonable. Was the 32GB of RAM a fucking typo? is there seriously any cloud provider (even small ones) that don't go that high? having Datacenters geographically separated is a common clause. 2 billion in revenue would be the only questionable one.

  2. AWS _users_ have a terrible track record by Anonymous Coward · · Score: 5, Insightful

    God I'm tried of seeing this. I'm not the biggest fan of AWS or S3 but when you see a news article on documents being leaked on S3 is almost certainly 100% the users fault (I'm not aware of any cases where it wasn't).

    S3 defaults to private/restricted access. If you created a bucket right now and uploaded files the are not publicly accessible. You have to explicitly grant public access and if you do that through the web interface it even prompts you with something akin to "this is probably a very bad idea, are you really sure you want to do this".

    The only fault that can be laid at Amazon's feet is that the ACL system can be very difficult to learn and master for novices. This causes non-tech types to just throw up their hands and just go with the public option thinking that it will be fixed later. AWS could help the situation by creating an S3 lite that had a more dropbox like interface and allowed access to be easily managed through OAuth access based on social media accounts.