Verizon has been selected by the US Department of the Interior (DOI) to participate in a $10bn, 10-year contract to provide cloud and hosting services.
The winning company will provide cloud-based storage, secure file transfer, virtual machine, and database, web, and development and test environment hosting services.
Verizon will be one of 10 companies to offer the services.
Verizon has also been selected by the US agency to provide SAP application hosting services.
The contract will be awarded under the Foundation Cloud Hosting Services as part of the agency's IT Transformation initiative, and each of the 10 contracts will be potentially worth $1bn.
Foundation Cloud Hosting Services contract will be awarded for an initial period of three years, which can be extended through April 2023.
IT Transformation initiative of the agency is expected to generate savings of $100m a year from 2016 through 2020.
Verizon Enterprise Solutions senior vice president of public sector markets Susan Zeleniak said, "The Foundation Cloud Hosting Services contract represents an expansion of Verizon's engagement with the department and will enable it to leverage Verizon's significant cloud investments and expertise to help the department achieve its long-term objectives."