What Microsoft's New $22 Billion Government Contract Means for Its Stock

Brett Schafer, The Motley Fool
·4-min read
What Microsoft's New $22 Billion Government Contract Means for Its Stock

Last week, the U.S. Army announced that it had finalized a $21.9 billion deal to have Microsoft (NASDAQ: MSFT) provide 120,000 augmented-reality (AR) headsets for its troops over the next 10 years. Investors have responded enthusiastically, bidding Microsoft stock up by more than 7% since the announcement. The contract is worth upwards of $21.9 billion and could see Microsoft sell the government more than 120,000 headsets based on its HoloLens 2 hardware.