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Cloud Businesses Government

Amazon's Cloud Business Giving Federal Agencies Up To $1 Billion In Discounts (cnbc.com) 20

Amazon Web Services has struck a deal with the U.S. government to provide up to $1 billion in cloud service discounts through 2028. CNBC reports: The agreement is expected to speed up migration to the cloud, as well as adoption of artificial intelligence tools, the General Services Administration said. "AWS's partnership with GSA demonstrates a shared public-private commitment to enhancing America's AI leadership," the agency said in a release.

Amazon's cloud boss, Matt Garman, hailed the agreement as a "significant milestone in the large-scale digital transformation of government services." The discounts aggregated across federal agencies include credits to use AWS' cloud infrastructure, modernization programs and training services, as well as incentives for "direct partnership."
Further reading: OpenAI Offers ChatGPT To US Federal Agencies for $1 a Year

Amazon's Cloud Business Giving Federal Agencies Up To $1 Billion In Discounts

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  • Kowtow (Score:3, Informative)

    by fjo3 ( 1399739 ) on Thursday August 07, 2025 @07:14PM (#65574054)
    "public-private" business? I always hesitate before describing Trump as a fascist, but one of the defining characteristics of a fascist regime is public businesses being controlled, but not outright owned, by the government. While this is technically a voluntary action on behalf of Amazon, we all know the company would not be doing this if anyone else was POTUS. Companies are frightened of this wildly unpredictable administration, and I do not blame them for mitigating risk in any ways that they can.
    • That was my first thought, my second is that all of the personal data that we provided to the Government will on AWS and integrated into their AI. God help us all.
      • Re:Kowtow (Score:4, Funny)

        by srmalloy ( 263556 ) on Thursday August 07, 2025 @09:29PM (#65574238) Homepage
        Amazon cloud services... where government data lives on hardware owned and controlled by Amazon... who therefore owns the data, because they're capable of destroying it, copying it, altering it, or basically doing whatever they want with it. Because you trust Amazon to adhere strictly to the security policies that prevent them from accessing the data stored there, right?
        • If it is their FedRamp data centers then it was already part of the plan, but if it is the public stuff they're offering then it isn't really fit to use.
          • If it is their FedRamp data centers then it was already part of the plan, but if it is the public stuff they're offering then it isn't really fit to use.

            From what I see, it's a big announcement but not a whole lot of change; I suspect as you do that it only involves FedRamp due to Federal security requirements. As for AWS, this could also be the tech equivalent of the drug dealer giving you your first hit for free. Once agencies are tied tightly to AWS it will be harder for competitors to gain traction, and after 2028 AWS can start raising prices as a result.

            • First hit is free, like IBM.
              AFAIK, IBM discounts nearly all licenses to the Feds. They focus on the license revenue after design and implementation, and leave all that tricky sustainment and user training/change to a prime contractor.

              Question is if AWS wants to use that model, or do the consulting as well.

            • AWS is offering a discount, not free. The equivalent is a drug dealer saying "I'll sell you this $50 bag of dope for $40"
              • AWS is offering a discount, not free. The equivalent is a drug dealer saying "I'll sell you this $50 bag of dope for $40"

                Yea, and TFA didn't have details on the discount. It seems like a move to grab at a chance to lock in the feds on AWS. The big playersa re making moves to stifle competition. Oracle and OpenAI made similars move with chatGPT:

                The GSA announced a similar deal last month with cloud rival Oracle . The agency also reached an agreement with OpenAI on Wednesday that will give federal agencies access to ChatGPT for $1 through the next year.

            • It was hard. With AI, migrating away from aws is easy. :-)

    • Some bootlickers with mod points today. Good job, you've wasted your time on censorship instead of boosting good posts or helping to filter out truly off topic and offensive posts.

    • Wait, instead of overpaying, like it usually does, the Federal government is getting a discount and you're unhappy about it?

      Also, note that there are other defining characteristics of Fascism, and displaying one is meaningless. Corporatism (Fascism's structure for controlling private business) is popular in Europe, but Fascism is not. Corporatism is not popular in the US. The closest we get is when there's a Federal arbitrator involved with large labor negotiations.

      The key characteristic of Fascism

    • by tlhIngan ( 30335 )

      Apple made a 24ct gold statue for Trump. That really should tell you all you need to know.

  • 1. Raise the prices by $2b
    2. Offer $1b "discount"
    3. Profit

  • Cloud costs will approach zero, subsidized by the hunger for AI training data.
    Privacy protection? [Waves hands] Sure, we'll keep your data 'private'.

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