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Dell Secures $9.7 Billion Pentagon Software Contract

Dell Technologies (DELL) has been awarded a $9.7 billion U.S. contract with the Department of Defense in Washington, D.C.

The contract, which runs over five years, will see Dell provide a suite of software products to the U.S. military.

Officially called the “Microsoft Department of War Enterprise Software Agreement II Core Enterprise Technology Agreement,” the contract will see Dell provide Microsoft 365 software and advanced cloud subscriptions to the American military.

Best known as a personal computer (PC) maker, Dell is also a major buyer of Windows PC licenses, and has a long-running partnership with Microsoft (MSFT).

The agreement will provide the Pentagon with a single place to acquire the licenses it needs to run its enterprise Microsoft systems.

The contract award comes after Dell Technologies founder and CEO Michael Dell pledged $6.25 billion U.S. to fund investment accounts for children known as “Trump accounts.”

President Donald Trump has been complimentary of Dell. At a recent White House event, Trump said “go out and buy a Dell,” after lauding the Dell family for its donation to Trump accounts.

Michael Dell also sits on Trump’s “Council of Advisors on Science and Technology.”

DELL stock has risen 139% this year to trade at $305.32 U.S. per share.