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Pentagon awards Microsoft $9.7 billion deal in bid to cut costs, end license sprawl

  • May 28, 2026
A view shows a Microsoft logo at Microsoft offices in Issy-les-Moulineaux near Paris, France, March 25, 2024. REUTERS/Gonzalo Fuentes/File Photo Purchase Licensing Rights

The Pentagon on Wednesday announced a five-year, $9.69 billion ​agreement to consolidate Microsoft (MSFT.O), and ‌other enterprise software licenses scattered across the military services, the intelligence community, and ​the U.S. Coast Guard into ​a single contract vehicle, officials said.
The ⁠cost-cutting effort hands Microsoft a guaranteed ​enterprise-wide foothold across the U.S. armed ​forces while squeezing out duplicative spending that officials said had quietly ballooned across years ​of fragmented, go-it-alone procurement.

Source : https://www.reuters.com/business/pentagon-awards-microsoft-97-billion-deal-bid-cut-costs-end-license-sprawl-2026-05-27/

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