Google Wins $35 Million U.S. Government Contract Over Microsoft

Google and its partner Onix Networking just won a $35 million contract to run the U.S. Department of the Interior's new cloud-based email and collaboration system. This wasn't always a sure bet for Google. In 2010, the Department of the Interior awarded Microsoft a $59.3 million contract to run its email and collaboration system. Google and its Ohio-based partner Onix Networking quickly filed a suit to block this contract. In Google's view, the Interior Department's procurement process unfairly favored Microsoft and never gave it a fair chance. Google finally withdrew its lawsuit last September after the Department scrapped its plans to use Microsoft's solution because its original decision was "now stale in light of new developments in technology and entrants into the market."

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