The president of Microsoft says it took its bid for the $10 billion JEDI cloud deal as an opportunity to improve its tech – and that's why it beat Amazon

Microsoft viewed the bidding for the Pentagon's $10 billion contract as a 'very large scale engineering project,' Brad Smith told Business Insider.

Microsoft viewed the bidding process for the Pentagon's contentious $10 billion cloud computing contract as a "very large scale engineering project," company President Brad Smith told Business Insider.

For many months, Amazon Web Services was considered the frontrunner to win a contentious $10 billion cloud contract with the Pentagon. That contract, called the Joint Enterprise Defense Infrastructure deal, would see key pieces of the Department of Defense's computing infrastructure moved up to the cloud.

"What was surprising to the outside world in terms of end result was less surprising to us," Smith told Business Insider this week at the World Economic Forum in Davos. "We knew how hard we had been working and, perhaps more importantly, how much progress we made in not just satisfying but exceeding the requirements."Bidders for the JEDI contract had around two years from the time the Pentagon announced the deal, to when it made a decision.

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