CSC, AWS and Microsoft Score $108M Federal Government Cloud Contract

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CSC, Amazon Web Services and Microsoft Azure have won a major cloud computing contract with the Federal Aviation Administration (FAA), a deal valued at $108,992,884 that could reach up to $1 billion over 10 years.

According to an announcement by CSC on Monday, the federal cloud contract includes cloud services, data center consolidation and cloud migration services.

Under the agreement, CSC will consolidate FAA’s data centers and migrate its data and systems to a hybrid cloud environment, using the CSC Agility Platform cloud management tool for cloud deployment.

Data center consolidation has been a federal initiative for a number of years, but it has been fraught with problems, including agencies misreporting savings. A report last year by the Government Accountability Office estimated that agencies would save as much as $3.1 billion over a one-year period, but found that government agencies were way under when estimating their own potential savings.

“CSC and our alliance partners are demonstrating the unique value that we as a team can bring to deliver an innovative, next-gen IT cloud solution that drives the FAA’s mission forward,” CSC president and CEO Mike Lawrie said in a statement. “By coming together as we have, we are in a unique position to help meet the agency’s operational and budgetary challenges over the life of the program.”

Government cloud spending is expected to reach more than $5 billion in 2017, and hybrid cloud models have helped agencies move to the cloud while still maintaining control and security compliance.

“Government adoption of cloud computing for mission applications is accelerating rapidly, and we are pleased to help FAA’s transition to the cloud,” said Teresa Carlson, vice president of Worldwide Public Sector, Amazon Web Services, Inc. “With AWS’s security and compliance standards – like FedRAMP, ITAR and SRG – CSC will be able to rapidly enable FAA to realize the benefits of agility, cost savings, and flexibility.”

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