The percentage of share that service procurement has in government procurement market has never been low, especially in those countries which heavily outsource. Thus it is without saying that the benefits will be great if the transparency and competition in such type of procurement can be increased. However, GATS government procurement negotiation, which is conducted for such purpose, has long been entangled with WTO government procurement transparency negotiation and the built-in negotiation of the plurilateral Government Procurement Agreement. As a result, it constantly faces the challenges of whether it will become repetition of the results of the other two negotiations and whether it will cause split application of procurement rules for goods and services. After the Working Group on Transparency in Government Procurement Practices ceased to operate, the “Annex to the GATS on Government Procurement” proposed by E.U. seemed to shed some light on this slow negotiation. Nevertheless, the Government Procurement Agreement (2007) shortly emerging once again cast doubt on the continuation of this negotiation. Based on the review of both the Government Procurement Agreement (2007) and the draft “Annex to the GATS on Government Procurement”, this paper finds that the said draft Annex as opposed to the 2007 Agreement is more flexible, whether in term of non-discrimination requirement or transparency disciplines, and more likely to be accepted by Members. Therefore, this paper concludes that even though the draft Annex highly overlaps the content of the 2007 Agreement, the GATS government procurement negotiation based thereon merits continuation for it will facilitate government procurement rules to be multilateralized gradually.