Update: Google Wins Injunction Against Microsoft Cloud Deal

Back in November 2010, MSPmentor (TalkinCloud’ sister site) reported on a lawsuit Google had filed against the US Department of Interior on behalf of a reseller partner. Google and the channel partners were upset with the US Department of Interior for only soliciting cloud bids for Microsoft BPOS solutions and snubbing Google’s own Google Apps cloud productivity suite. Now we have an update: The Washington Post reports Google has won a temporary injunction blocking the $49.3 billion contract from continuing. Here’s the scoop.

The reason for the court order is exactly what Google was hoping to hear, with Federal Claims Judge Susan G. Braden citing deficiencies in the procurement process. Without that order, the Department of the Interior would have awarded Microsoft the contract on Jan. 25, 2011, which would have positioned its 88,000 employees for Microsoft BPOS and cost Google its big chance to compete.

Meanwhile, Microsoft is battling every step of the way, stating that the Department of the Interior chose to go with Microsoft BPOS because it’s simply a more secure solution, and even if Google wins the chance to compete the outcome will be the same. But that Washington Post report indicates that Google is more interested in being taken seriously and competing fairly than in winning.

As MSPmentor said when this lawsuit first came light, it’s good to see Google go to such lengths to fight on behalf of Onix Networking, the Google reseller that was snubbed in the deal. But one way or the other, this lawsuit is going to say a lot about Google Apps’ presence in the government vertical going forward.

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