Google to reduce prices for cloud computing services for the US government, according to FT reports

Google plans to significantly reduce prices on cloud computing services for the U.S. government, with a deal expected to be finalized in the coming weeks, reported the Financial Times on Friday, as President Donald Trump seeks to enact extensive measures to cut federal expenditures.

The Wall Street Journal noted last week that Oracle, Google, and the General Services Administration did not provide immediate responses to Reuters’ inquiries outside normal business hours.

In April, Google agreed to give a 71% discount until September 30 to U.S. federal agencies for its suite of business applications, which could lead to cost savings of up to $2 billion if adopted government-wide. Google will extend a 75% discount on its license-based software and a “significant” discount on its cloud services through the end of November.

According to the Financial Times, a senior official at the General Services Administration indicated that Google’s cloud contract is expected “to land in a similar spot,” adding that comparable discounts from Microsoft’s Azure and Amazon Web Services are anticipated soon.