AWS Wins $1B Federal Cloud Credits Deal

The U.S. General Services Administration (GSA) has announced a major agreement with Amazon Web Services (AWS), providing federal agencies up to $1 billion in credits for cloud adoption, modernization, and AI training through 2028. This initiative is part of the Trump administration's OneGov Strategy to accelerate digital transformation, reduce IT costs, and expand artificial intelligence use in government. The deal is designed to streamline procurement, eliminate reseller markups, and generate taxpayer savings. AWS will also offer training and support to help agencies transition from legacy systems. The government is negotiating similar agreements with other major cloud providers such as Google, Microsoft, and Oracle. Some experts suggest that these deep discounts reflect Big Tech's interest in maintaining strong federal relationships and gaining access to government data.