Microsoft Corporation

Microsoft's Azure cloud platform participates in the Joint Warfighting Cloud Capability contract for the U.S. military and has supported the U.S. DOD since at least 1980. Azure has facilitated Israeli military operations, per AFSC Investigate. Microsoft technologies are also used by U.S. government agencies to surveil immigrant communities and manage prisons.

Microsoft's involvement in the carceral system spans immigration enforcement technology and correctional facility software. As of October 2025, Microsoft held $30.8 million in ongoing contracts with U.S. Immigration and Customs Enforcement, with the amount of data ICE stores on Microsoft's Azure cloud tripling from 400 terabytes to 1,400 terabytes between July 2025 and January 2026 following a $75 billion congressional budget increase for the agency. More than 100 Microsoft employees have publicly protested the company's ICE work, which has included a $19.4 million contract for data processing and artificial intelligence capabilities used in enforcement operations.

Microsoft also built the foundational software for U.S. prison management systems. The Offender 360 platform, developed in 2009 on Microsoft Dynamics CRM as part of a $30 million contract to overhaul the Illinois Department of Corrections computer systems, tracks prisoner locations, identifying features, criminal history, and behavioral categorizations. The platform expanded into Youth 360 for juvenile detention and Pretrial 360 for bond risk assessments. While Offender 360 was later sold to DXC Technology and then acquired by Harris in 2022, the product remains built on Microsoft Dynamics CRM infrastructure. Microsoft Azure Government maintains CJIS compliance certifications specifically marketed for criminal justice and law enforcement agencies, and the Department of Justice awarded Microsoft a contract worth up to $75 million in 2020 for software and support services.

Microsoft provides technologies used by the Israeli military and police, and by U.S. government agencies for immigrant surveillance and prison management. Azure is the world's second-largest cloud provider and serves as a primary cloud platform for the U.S. military. AFSC Investigate lists Microsoft under Occupations, Borders, and Prisons categories.

Microsoft is a major U.S. defense contractor across cloud infrastructure, AI, and combat systems. The company shares a $9 billion Joint Warfighting Cloud Capability contract awarded by the Pentagon in December 2022 with Amazon, Google, and Oracle, providing cloud services at all classification levels through Azure Government. As of March 2025, JWCC had awarded $2.3 billion in total task orders, and Microsoft has disclosed the highest operating income from the contract among the four awardees.

Additional defense contracts include a $3.17 billion software deal and a $1.76 billion enterprise services agreement with the Department of Defense, plus a Navy contract vehicle worth up to $1.5 billion for Microsoft product support.

Microsoft's $21.9 billion Integrated Visual Augmentation System contract with the U.S. Army, originally awarded in 2021 for HoloLens-based augmented reality combat headsets, was restructured in February 2025 after persistent hardware failures and a critical Pentagon inspector general report. Microsoft transferred industry leadership to Anduril while retaining the role of preferred cloud provider for IVAS workloads.

The Army subsequently launched a full recompete under the renamed Soldier Borne Mission Command program, awarding prototype contracts to Anduril and startup Rivet. In September 2025, Microsoft offered the U.S. government up to $6 billion in discounts over three years on Azure, Microsoft 365, Copilot, and cybersecurity tools.

Microsoft employees publicly protested ICE/CBP cloud computing and facial recognition contracts used in migrant detention; internal open letter signed by hundreds of employees condemning use of Azure for immigration enforcement