Oracle books $88M Air Force Cloud One contract

The Air Force has added another major cloud service provider through a new $88 million direct contract with Oracle as part of its Cloud One program.

This award announced Thursday follows a $581.3 million contract with Amazon Web Services the service branch finalized in late January.

The Air Force is using the Cloud One program to modernize its IT infrastructure.

Cloud One also includes a $455 million million contract awarded to Leidos in December for systems architecture and common shared services, as well as a $743 million contract awarded in May to Booz Allen Hamilton for application modernization work.

The firm-fixed price contract with Oracle runs through Dec. 7, 2028.

Under the Oracle contract, the Air Force and the rest of the Defense Department will have access to Oracle Cloud Infrastructure services across multiple classification levels. The agreement also offers data center support for Top Secret/SCI, Special Access Program, and Defense Information Syst Impact Levels 5 and 6.

The agreement also offers data center support through Oracle National Security Regions operated by cleared U.S. citizens.

In the area of artificial intelligence, the contract gives the Air Force and DOD access to Oracle’s AI Database 26ai. This tool is designed to help users “combine organization-specific information and public information when running agentic AI workflows,” according to the Oracle announcement.

“Oracle remains committed to the [DOD’s] mission and our next-generation database services and analytics, including Oracle AI Database 26ai, are transformative additions to [DOD’s] Cloud One strategy,” said Kim Lynch, executive vice president for government, defense and intelligence at Oracle.

The contract also includes Oracle’ security services for DOD agencies to meet the boundary protection needs of the Defense Information Systems Network.

Work will be performed at Oracle facilities throughout the U.S.