The wealth of Jeff Bezos, the world’s richest man, hit a record of $211 billion net worth after experiencing a $8.4 billion growth over the Pentagon's cancelation of a $10 billion cloud computing contract with rival Microsoft.
The Pentagon announced the news on Tuesday after several years of dispute between the government and some of the biggest US tech companies over the contract.
The contract was aimed at building a cloud-computing system for the Pentagon but Amazon alleged that it was denied the deal due to political reasons.
“Today, the Department of Defense (DoD) canceled the Joint Enterprise Defense Infrastructure (JEDI) Cloud solicitation and initiated contract termination procedures,” the department said in a statement.
The contract was awarded to Microsoft in October 2019 but Amazon has contested the $10 billion for more than a year.
“JEDI, conceived with noble intent and a baseline now several years old, was developed at a time when the department’s needs were different and our cloud conversancy less mature,” Pentagon acting chief information officer John Sherman told reporters.
“In light of new initiatives along with changes in DOD and user requirements to leverage multiple cloud environments for mission needs, our landscape has evolved and a new way ahead is warranted,” he added.
The Pentagon announced its decision a day after Bezos, 57, officially stepped down as Amazon’s CEO and handed over the power to Andy Jassy. Despite his resignation, Bezos still owns about 11% of the company and serves as the firm’s executive chairman.