Amazon Web Services Secures New Department of Defense Authorization

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Amazon (NASDAQ:AMZN) Web Services has received a new level of security certification from the Department of Defense that will allow the company to work with even more DoD agencies, announced Amazon in a press release. Amazon Web Services, or AWS, is the cloud computing division of Amazon Web Services was granted DoD Provisional Authorization under the DoD Cloud Security Model for Impact Levels 1-2, noted the e-commerce giant.  The extra level of security compliance means that Amazon will be able to acquire more lucrative government contracts for its remote computing services.

“After receiving an overwhelming response from defense agencies interested in leveraging our FedRAMP Authority to Operate (ATO), we’re very excited to further extend our services to the government community by meeting the additional requirements of the DoD,” said AWS vice president of worldwide public sector Teresa Carlson via a press release. “Today, more than 600 government agencies use AWS services, and we look forward to continuing to demonstrate the security and reliability of the AWS Cloud so that an even broader set of DoD customers can use our services to reduce costs and innovate for their missions.”

According to the federal government’s cloud computing information website, the Federal Risk and Authorization Management Program (FedRAMP) is a government-wide program that provides a standardized approach to security assessment, authorization, and continuous monitoring for cloud products and services. As noted by The Washington Post, Amazon Web Services has had FedRAMP security authorization since May of last year. However, the recently acquired high-level DoD cloud security certification will expand Amazon’s business opportunities with the government.

As noted by Amazon, multiple DoD agencies — such as the U.S. Department of the Navy and the U.S. Air Force — already uses Amazon Web Services for efficiency and cost-cutting reasons. However, the new higher security certification acquired from the DoD will likely grow Amazon Web Services’ business beyond the 600 agencies that currently use Amazon’s cloud computing services.

The new DoD security certification could also open more doors for Amazon Web Services in the civilian sector. “We do have commercial customers that also request our FedRAMP package,” Carlson told The Washington Post in an interview. “It’s the bar they want to meet … they don’t want to produce a new deal, but take advantage of something that’s working.”

It remains to be seen if Amazon’s new government business opportunities can help the company reverse its recent decline in share price. Amazon shares recently hit a new low for 2014 when the stock closed at $338.47 on Thursday. Here’s how Amazon traded today.


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