The Department of Defense has asked a federal court to give it 120 days to reconsider aspects of a controversial $10 billion cloud computing contract that it awarded to Microsoft (NASDAQ: MSFT), a significant development in Amazon's (NASDAQ: AMZN) legal fight to get the award overturned. In October, the Pentagon awarded the Joint Enterprise Defense Infrastructure (JEDI) contract to Microsoft, defying analysts' predictions that Amazon would win the contract. Amazon in November filed suit to try to reverse that decision, claiming that President Trump's long-standing feud with Amazon CEO Jeff Bezos had caused him to get involved and improperly influence Pentagon officials to steer the contract to Microsoft. Image source: Getty Images. Defense contractors routinely file protests over major winner-take-all awards, but this one has come under particular scrutiny due to its size, the companies involved, and the allegations of improper presidential meddling. The Defense Department in a court filing late Thursday reportedly said it "wishes to reconsider" one aspect of how it compared pricing, and said it also wanted to revisit its approach to online marketplace evaluations. Amazon applauded the decision. "We are pleased that the DoD has acknowledged 'substantial and legitimate' issues that affected the JEDI award decision, and that corrective action is necessary," a company spokesperson said in an emailed statement. However, it is far too soon to predict that the JEDI award will be overturned. Microsoft in a statement said that it supports the Pentagon's decision to reconsider "a small number of factors as it is likely the fastest way to resolve all issues." The Defense Department has made JEDI one of its top priorities, but for now, work on the contract is on hold due to the court's finding of discrepancies in the award process. If the government is able to rectify and resolve the issues the court has identified so far without a full recompete, it will once again be up to the judge to decide whether to force a recompete or to allow Microsoft's JEDI implementation to proceed. 10 stocks we like better than AmazonWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Amazon wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of December 1, 2019 John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool's board of directors. Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Amazon and Microsoft and recommends the following options: long January 2021 $85 calls on Microsoft and short January 2021 $115 calls on Microsoft. The Motley Fool has a disclosure policy.Source