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CIA Chooses: Amazon or IBM?

Published on June 12, 2013
by Spencer E. Ante

The battle between International Business Machines Corp. and Amazon.com Inc. over a $600 million contract to set up a cloud-computing system for the Central Intelligence Agency shows the growing importance of intelligence-agency business for technology companies.

The competition comes amid extraordinary disclosures of secret government-surveillance programs and shows that even in the rarified world of intelligence agencies, companies selling Internet-based cloud-computing services — like Amazon — are challenging the position of traditional technology vendors.

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