Amazon Web Services signs $580M cloud contract with U.S. Air Force
The hosted cloud computing division of Amazon is participating in a major U.S. Air Force cloud initiative.
The U.S. Air Force has announced that Amazon Web Services was awarded a $581.3 million firm-fixed-price contract for its Cloud One Program multi-cloud, multi-vendor ecosystem. The contract provides for Amazon cloud service in support of the Air Force's Cloud One Program and its customers.
Work will be performed at designated facilities across the contiguous U.S. and is expected to be completed by Dec. 7, 2028. This award is the result of a sole source acquisition. Fiscal 2026 operations and maintenance funds in the amount of roughly $3.5 million are being released at the time of award.
In November 2025, Amazon publicly pledged to invest up to $50 billion to expand AI and supercomputing capabilities for U.S. government customers of its Amazon Web Services (AWS) hosted cloud subsidiary. This investment, set to break ground in 2026, is expected to add nearly 1.3 gigawatts of AI and supercomputing capacity across AWS Top Secret, AWS Secret, and AWS GovCloud (US) regions by building new data centers with advanced compute and networking technologies.
Federal agencies will gain expanded access to Amazon AI technologies including the Amazon Bedrock platform, AWS Claude generative AI foundation model, AWS Trainium AI chips, and infrastructure from its partnership with Nvidia. AWS supports more than 11,000 government agencies.
[READ MORE: Amazon dives deeper into generative AI with Nvidia integration]
Amazon also recently said it will invest an estimated $15 billion in northern Indiana to build new data centers that will provide advanced cloud infrastructure and computing power to meet demand caused by the advancement of generative AI.
The company is also investing at least $3 billion in Warren County, Mississippi, to build a new data center to support artificial intelligence and cloud computing technologies. In June 2025, Amazon announced it intends to invest at least $20 billion in Pennsylvania to expand its data center infrastructure in the state.
The Air Force Life Cycle Management Center, Hanscom Air Force Base, Massachusetts, is in charge of the Cloud One contract.
