By Faizan Farooque
Publication Date: 2026-01-22 14:36:00
This article first appeared on GuruFocus.
Microsoft (MSFT, Financials) has landed a $170.4 million contract to provide cloud computing services to the U.S. Air Force, the Department of War announced. The agreement strengthens Microsoft’s long-running role in supporting defense modernization through its Azure platform.
Under the deal, Microsoft will deliver cloud services for the Air Force’s Cloud One program, which provides secure digital infrastructure to military users. The project will be carried out at Microsoft facilities across the continental United States and run through December 7, 2028.
The government awarded Microsoft the contract without competition, demonstrating its trust in Microsoft’s cloud services. The partnership builds on Microsoft’s work with the Department of Defense on secure cloud environments and data analytics.
The transaction strengthens Microsoft’s footprint in defense technology, where cloud computing and AI are crucial.
