Dell Technologies has secured a $9.7 billion five-year contract with the U.S.

Dell Technologies has secured a $9.7 billion five-year contract with the U.S. Department of Defense to provide Microsoft 365, advanced cloud subscriptions, and on-premises licensing to the military, intelligence community, and Coast Guard (Source 1). The deal, known as the Microsoft Department of War Enterprise Software Agreement II, will consolidate IT licensing across the Pentagon, saving an estimated $422 million annually. This win comes after Dell CEO Michael Dell pledged $6.25 billion to fund child investment accounts tied to President Trump, and Dell was appointed to Trump's Council of Advisors on Science and Technology. The contract is a significant revenue driver, reinforcing Dell's position as a key government IT partner. Dell's latest fiscal year (FY26) revenue reached $113.5 billion, up 19% year-over-year, with non-GAAP EPS growing 27% to $10.30 (Source 2). The deal is expected to contribute to Dell's government segment revenue over the contract's duration, with immediate positive sentiment likely driving near-term stock appreciation. This win underscores Dell's strong relationship with Microsoft (MSFT) and its ability to secure large-scale enterprise agreements.