The Pentagon has terminated $4bn worth of IT services contracts with companies including Deloitte, Accenture and Booz Allen Hamilton as part of the Trump administration’s ongoing purge of consultancy spending.
Defence secretary Pete Hegseth determined the contracts to be “non-essential spending on third-party consultants” that could be carried out more efficiently by Pentagon employees, according to a memo he issued on Thursday.
Hegseth said the contracts represented “$5.1bn in wasteful spending” and the cancellations would result in “nearly $4bn in estimated savings”. More than $1bn has already been disbursed.
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