The tech giant Microsoft has agreed to sign a contract with US Army Program Executive Office for Enterprise Information Systems (PEO EIS) in which the latter would purchase 50,000 seats of the former’s cloud office offerings. PEO EIS has also plans to buy cloud-based offerings from Google. It has been reported that the deal would help the Redmond based tech giant to make improvements in Microsoft Office products.
Although sources have reported about Google’s plan to sell its cloud-based supports to PEO EIS, there has not been any official statement released regarding this from Google’s part. However, a Google spokesperson quoted that Google was granted 50,000 seats as part of the contract.
As per the deal, both Google and Microsoft would not receive any payment for the seats until they begin selling them into commands. However, the news indicates the ever-toughening competition prevailing between the two office-service rivals.
Blanket Purchase Agreement (BPA)
The agreement between the US Army and the tech giants, Microsoft and Google is widely considered as a Blanket Purchase Agreement. Once the deal comes into existence, any service or agency under US Department of Defence would be able to go with Google apps or Office 365 of Microsoft without further consents or competitions. Meanwhile, the deal would allow Microsoft and Google to sell seats into commands in different quantity, to say up to 50,000 each.
Microsoft Office 365
It has been reported that Microsoft has clear plans to field its Office 365 Government SKU. As such, government agencies will be granted with the permission to use Microsoft Office 365 in a controlled environment. As per the deal, Microsoft would field cloud services such as Microsoft Lync, Office Web Apps, email, collaboration utilities like SharePoint and calendar.
As per the deal, Google would pitch its modern apps for Government. Sources from US Army said that the deal would help the US Army program to incorporate modern apps and tools from Google in its bid to improve collaboration. As a part of the deal, army personnel would be share valuable information via mobile devices in a safer and secured manner. In fact, the US Army is quite eager to see how it would work.
Microsoft recently revealed that its Windows Azure was given a Provisional Authority to Operate (P-ATO) from Federal Risk and Authorization Management Program (FedRAMP). Reports suggest that Microsoft has also plan to develop and Azure for Government SKU.