Microsoft continues to gather momentum from its shift to cloud computing in 2014.
On Friday, the Pentagon awarded the world’s biggest software company a US $10 billion cloud computing contract, ahead of Amazon which was expected to win the bid. It’s a big contract for Microsoft as it battles Amazon for cloud dominance.
The 10-year project, known as Joint Enterprise Defense Infrastructure, or JEDI, pitted Microsoft, Amazon, Oracle and IBM against one another. JEDI is a program to make the U.S. defense department more agile by replacing its aging computer networks with a single cloud system.
Under the contract, Microsoft will provide artificial intelligence-based analysis and host classified military secrets among other services. The JEDI system will store and process classified data, allowing the U.S. military to use artificial intelligence to speed up its planning and fighting capabilities.
In related news last week, Humana Inc. one of the largest health insurers in the U.S. announced a seven-year partnership with Microsoft for cloud services. The hope is to simplify the online interaction between doctors, patients and the health insurer.
The Louisville, Kentucky-based Humana will use Microsoft’s Azure cloud computing, artificial intelligence and data analytics platform.
Microsoft is a component of two Harvest ETFs.
It is a top holding of the Harvest Portfolio Group’s Harvest Tech Achievers Growth & Income ETF. The ETF (TSX:HTA, HTA.U) is an actively managed portfolio of 20 global technology leaders with an average market capitalization off CAD $376 billion as of Sept. 30, 2019. The ETF’s portfolio has an average yield of 1.18% and a current distribution yield of 6.78%.
Microsoft is also a core holding of the Harvest Brand Leaders Plus Income ETF (TSX: HBF, HBF.U).
As of Sept. 30, 2019, HBF held 20 global brand leaders who are the dividend elite, with an average dividend yield of 2.00%. The ETF’s average market capitalization was CAD $412 billion and has a current distribution yield of 6.96%.
For more on Harvest ETF’s click here.
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