Trump Scores $1 Billion Amazon Web Services Deal To Supercharge Federal Modernization

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Federal agencies can now tap into $1 billion in Amazon Web Services (AWS) credits under a new cloud deal unveiled Thursday by the General Services Administration (GSA).

The “OneGov” contract, available through the end of 2028, lets agencies redeem pre-negotiated AWS coupons for cloud migration, modernization and training. GSA told Politico the structure will slash procurement timelines, cut out the usual 5-7% reseller markup and support the White House’s push to accelerate artificial intelligence adoption across the federal government. (RELATED: Amazon Says New ‘Feeling’ Robot Is Augmenting — ‘Not Replacing’ — Human Workers)

“Through this unique partnership, the federal government is poised to deliver on President Trump’s AI Action Plan and solidify its position as the global AI leader,” Federal Acquisition Service Commissioner Josh Gruenbaum said in a GSA press release.

GSA acting Administrator Michael Rigas said the deal will “enhance delivery of critical services, leverage cloud and advanced AI technologies, and dramatically reduce costs.”

AWS chief executive Matt Garman called the coupon “a significant milestone in the large-scale digital transformation of government services” in the press release, adding that his company will help agencies “build the foundation for a more secure and innovative government of tomorrow.”

The contract is non-exclusive. GSA officials confirmed parallel OneGov talks with Microsoft and Google, and last month the agency inked a separate pact giving agencies a 75% discount on Oracle technology. (RELATED: Bureaucrat Paranoia Reaches New Levels As Feds Take Drastic Steps To Avoid DOGE Surveillance)

Agencies can start spending the credits as soon as they sign a standardized usage addendum with AWS. GSA says the program will be the backbone for its consolidated-procurement strategy and a centerpiece of Trump’s broader effort to “spur AI innovation across government.”

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