The Defense Logistics Agency has awarded a $48 million contract to Google Public Sector to modernize its global supply chain operations, marking the agency’s first major partnership with a commercial, AI-ready cloud provider.
The agreement, known as the DLA Enterprise Platform, represents a significant shift from the Department of Defense’s (DOD) legacy “GovCloud” systems to a modern cloud infrastructure built to handle the scale, complexity and security demands of military logistics.
Under the multi-phase initiative, Google Public Sector will migrate DLA’s infrastructure and data to its secure-by-design cloud platform, enabling the agency to access advanced artificial intelligence, data analytics and machine learning tools.
“The backbone of U.S. national defense is a resilient, intelligent, and secure supply chain,” Jim Kelly, vice president of federal sales at Google Public Sector, wrote in a blog published Aug 28. “To effectively manage a supply chain of global scale and complexity, DLA requires access to the most advanced digital tools available.”
These capabilities are expected to improve real-time decision-making, enhance transportation management, and drive cost savings through more efficient business planning.
The contract also brings improved interoperability between systems and increased network resiliency. According to Google, the cloud environment will be protected by the company’s leading threat detection tools and Mandiant’s cyber defense expertise, ensuring the platform meets the DOD’s highest security standards.
Previously, agencies like the DLA relied on isolated government-only clouds that often lacked the reliability, speed, and innovation of commercial solutions. The new platform, according to Kelly, offers a scalable and future-ready foundation for defense logistics, with immediate and long-term benefits.
This latest contract builds on a previous $200 million deal Google secured with the DOD’s Chief Digital and Intelligence Office (CDAO) to provide infrastructure for AI, signed in July of this year.