GAO Tells GSA To Rethink Cloud-Country Conundrum

Law360, New York (October 17, 2011, 9:18 PM EDT) -- The U.S. Government Accountability Office on Monday partially sustained a protest from two information technology companies challenging a request for bids on a U.S. General Services Administration cloud computing contract, rejecting the agency's requirement that data be stored in so-called designated countries under the Trade Agreements Act.

Technosource Information Systems LLC protested the GSA's request for quotations on a SmartBUY blanket purchase agreement for cloud computing services on July 7. TrueTandem LLC filed its own protest on July 8, the day the RFQ was set to close.

The companies held, in part, that the RFQ could not restrict data centers to...

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