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Army Awards Salesforce 10-Year, $5.6 Billion Contract for Cloud, Data and AI Tools

Revenue will be recognized only as task orders are issued under the IDIQ.

Overview

  • The award runs through Salesforce’s national‑security subsidiary Computable Insights and includes a five‑year base ordering period plus a five‑year option, with work potentially concluding by June 26, 2035.
  • Missionforce will be operationalized across Army functions to unify data, speed workflows, and lay a foundation for future agentic AI, with a Defense‑compliant Slack supporting recruiting and communications.
  • The deal aligns with Pentagon guidance prioritizing commercial software and AI procurement, building on prior Army engagements and the 2025 launch of Salesforce’s Missionforce unit.
  • Salesforce said it will detail the contract’s financial impact on its upcoming fourth‑quarter earnings call given IDIQ economics and task‑order timing.
  • CRM shares popped after the announcement before turning lower later in the day, as analysts maintained generally positive longer‑term views despite near‑term technical weakness.