Microsoft's Azure goes to space with new cloud capabilities designing to link ground stations and satellites, all while aiming to increase connectivity on Earth.

"We have to look at how do we drive forward given where we're at," CIO Aaron Weis said. "And so because of that reality, I believe the next step ... is to shift to cloud."

The Air Force's Cloud One program is one of those new homes to "allow us to move forward," CIO Dana Deasy said.

Despite DOD re-affirming the award, work with Microsoft is still on pause because of a court-ordered injunction.

This time, an appeals court dismissed Oracle's complaints against the JEDI contract.

DISA expanded Microsoft's Azure Government Secret provisional authorization, permitting the company to take on more secret-level work departmentwide.