In what can be truly called the “holiday jackpot,” Microsoft Corporation (NASDAQ:MSFT) recently revealed that it won a contract worth $927 million with United States Department of Defense. According to a latest report by Reuters, Microsoft will provide consulting services and technological support to the Department of Defense.
A strong bond with the Department of Defense
This is not the first time that Microsoft is contracting with the Department of Defense. This year in February, the company had signed a huge deal with the Department for empowering its 4 million employees with Windows 10 OS in just 12 months. This was said to be Microsoft’s “largest enterprise deal” concerning Windows 10 operating system.
This window period of 12 months is zeroing in and it seems that the Department of Defense is merrily approaching Microsoft for its services again.
Three years ago, in 2013 as well, the company had signed a contract with the Department of Defense for Windows 8 operating system.
What does deal mean for Microsoft?
Recently, Satya Nadella, in a presentation, stated that he wants Artificial Intelligence to penetrate every segment of life. He also mentioned about the new announcements that the company will make. Was this already known to the company?
There isn’t a denial of the fact that Microsoft is still the king of operating systems, when it comes to desktop computers or PCs. But, it should also expect competition from Mac OS X of Apple and Google’s Alphabet.
However, with such huge government clients choosing for Microsoft, there is a growth prospective in line. The immediate future seems bright, if the company manages to get these clients in confidence.
The company seems to be revising its strategic policies and planning on making it large on the innovation front.
The shares of company soared in the stock market after the update. The analysts are happily rating the company’s stock for now.