Oracle Corp. signage on the floor of the New York Stock Exchange (NYSE) in New York, US, on Friday, April 10, 2026. (Michael Nagle/Bloomberg via Getty Images)
WASHINGTON — Oracle has scored a $7 billion agreement to consolidate what the Pentagon called its “fragmented, one-off information technology purchases” from the firm into a single, unified contract, the department announced Thursday.
The Enterprise Software Agreement (ESA), which was negotiated by the Department of the Navy, is projected to save about half-a-billion dollars over its lifecycle, according to the announcement. While Department of Defense entities have been separately purchasing Oracle software for years, this new award will create one giant contract for the entire organization, improving visibility of enterprise usage and spending as a means of optimizing technology budgets, according to the announcement.
“By fundamentally improving how we procure on-premises Oracle capabilities, we are driving at least $441 million in taxpayer savings while rapidly and effectively serving our warfighters,” said Kirsten Davies, chief information officer for DoD. “This nearly $7 billion agreement with Oracle strengthens our digital ecosystem, supporting our warfighters with secure, scalable technology to dominate current and future missions.”
