A federal judge on Thursday ordered a temporary halt of Microsoft's work on a $10 billion military cloud contract, a win for Amazon, which sued the USA government past year for awarding the contract to its rival.
On Thursday, Judge Patricia Campbell-Smith of the US Federal Claims Court agreed to the first demand, ordering the US to halt its Jedi activities, which are aimed at making the US Defence Department more technologically agile. The judge's full opinion was posted under seal.
The protest filed in the US Court of Federal Claims urges that the rival JEDI bids be re-evaluated.
Earlier this week, Amazon's cloud computing unit, Amazon Web Services, said it was seeking to depose Trump and Defense Secretary Mark Esper in its lawsuit over whether the president was trying "to screw Amazon" over the contract.More news: The Game pays tribute to Kobe Bryant with new tattoo
Pentagon spokesman Robert Carver said in a statement that the ruling unnecessarily delays implementation of the cloud contract and deprives "warfighters of a set of capabilities they urgently need".
The Pentagon and Amazon did not immediately respond to requests for comment.
Amazon's shares closed 0.47% lower at $2,149.87 and were also mostly unchanged in the after-hours.
Once again, Amazon is leveraging legal recourse to circumvent the Department of Defense's decision to award Microsoft the lucrative Joint Enterprise Defense Infrastructure (JEDI) contract.More news: IEA Sees First Global Oil Demand Drop in a Decade
Amazon has alleged it was shut out of the deal because of President Donald Trump's vendetta against the company and its chief executive Jeff Bezos.
A U.S. judge granted the company's request for a preliminary injunction to pause the contract, which would fund a multi-billion-dollar cloud computing deal known as the Joint Enterprise Defense Infrastructure, or JEDI.
In arguments making a case for Trump's deposition, Amazon sought to fit Trump's actions on the JEDI contract into a broader pattern of interference. Mattis has criticized the book.
Both the documents requesting the block and the judge's decision to issue the injunction were sealed by the court. Government lawyers estimated in court papers that it would cost taxpayers between US$5 million to US$7 million for every month implementation was delayed.More news: 'Parasite' shares rocket after Oscar wins
The Pentagon's JEDI project is created to consolidate the department's cloud computing infrastructure and modernize its technology systems.