Technology major IBM today said it has signed a five-year IT outsourcing agreement worth USD 15 million with Eureka Forbes.
The end-to-end business transformation and IT outsourcing agreement with Shapoorji Pallonji Group subsidiary, Eureka Forbes, is valued at USD 15 million, IBM said in a statement.
As part of the deal, IBM will provide business consulting, package implementation, infrastructure and application management services to Eureka Forbes.
IBM will also leverage its research capabilities to help Eureka Forbes improve its revenue, the statement said, adding that the deal would involve transition of Eureka Forbes' IT staff to IBM.
The US-based firm will help Eureka Forbes increase revenues from products as well as annual maintenance contracts, optimise inventory holding and reduce selling, general and administrative expenses.
"We believe IBM's proven leadership in providing IT transformation for Eureka Forbes and their global expertise in the consumer durable industry will enable Eureka Forbes to even more aggressively achieve its business goal," Eureka Forbes Vice Chairman and MD Suresh Goklaney said.
Eureka Forbes is a Rs 1,000 crore consumer durables firm operating in over 250 offices in major cities and has over 9,000 employees.
Showing posts with label IBM. Show all posts
Showing posts with label IBM. Show all posts
Tuesday, June 9, 2009
Friday, June 5, 2009
IBM
IBM teams up with India Glycols
Global firm IBM on Thursday announced that it had teamed up with India Glycols Limited, a market leader in India for Glycols and other value-added speciality chemicals, for enterprise IT infrastructure services.
As part of the agreement, IBM will host and manage the IT infrastructure, including IBM's state-of-the-art blade centre Nseries Storage System Solution, as well as the non-disruptive data migration and storage level data replication to its remote site, (IGL's plant) located in Kashipur, Uttarakhand.
The solution enables high performance, flexibility, scalability and efficient data mangement as well as effective total cost of ownership and return on investment for IGL, a company release said here today.
As part of the agreement, IBM will host and manage the IT infrastructure, including IBM's state-of-the-art blade centre Nseries Storage System Solution, as well as the non-disruptive data migration and storage level data replication to its remote site, (IGL's plant) located in Kashipur, Uttarakhand.
The solution enables high performance, flexibility, scalability and efficient data mangement as well as effective total cost of ownership and return on investment for IGL, a company release said here today.
Monday, May 18, 2009
IBM, Wipro
Wipro guns for IBM in telecom services market
What the Unitech win means, say analysts, is that Wipro’s earlier win was no fluke--that the company has now acquired the expertise to counter the might of Big Blue, as IBM is known.
Wipro Ltd’s win of a $500 million (Rs2,465 crore) strategic outsourcing contract from Unitech Wireless Ltd is seen by analysts as the Bangalore-based company’s emergence as a formidable competitor to International Business Machines Corp. (IBM) in the fast growing Indian telecom services market.
To be sure, this isn’t the first deal that Wipro has won in this space; in January 2008, it won a similar $600 million contract from Aircel Ltd. What the Unitech win means, say analysts, is that Wipro’s earlier win was no fluke—that the company has now acquired the expertise to counter the might of Big Blue, as IBM is known. Until the Aircel deal was won, IBM had a near-stranglehold on the market for outsourced information technology (IT) deals in the telecom sector.
Anil Jain, vice-president, corporate business unit, Wipro Infotech—the division that handles such business—lists three reasons for the company’s recent successes in IT-for-telcos deals: “We have built competencies in the recent past, have deep understanding of the Indian market and have strong relationships with our partners.”
An executive at IBM seemed to suggest that the company had walked away from the deal because it wasn’t worth it in terms of price. “There is good business and not so good business. IBM will do deals where we are confident of meeting our own metrics…,” said Avinash V. Joshi, director of communications sector at IBM India and South Asia. According to Joshi, IBM had “signed off” on the Unitech deal months before it was announced.
Wipro Ltd’s win of a $500 million (Rs2,465 crore) strategic outsourcing contract from Unitech Wireless Ltd is seen by analysts as the Bangalore-based company’s emergence as a formidable competitor to International Business Machines Corp. (IBM) in the fast growing Indian telecom services market.
To be sure, this isn’t the first deal that Wipro has won in this space; in January 2008, it won a similar $600 million contract from Aircel Ltd. What the Unitech win means, say analysts, is that Wipro’s earlier win was no fluke—that the company has now acquired the expertise to counter the might of Big Blue, as IBM is known. Until the Aircel deal was won, IBM had a near-stranglehold on the market for outsourced information technology (IT) deals in the telecom sector.
Anil Jain, vice-president, corporate business unit, Wipro Infotech—the division that handles such business—lists three reasons for the company’s recent successes in IT-for-telcos deals: “We have built competencies in the recent past, have deep understanding of the Indian market and have strong relationships with our partners.”
An executive at IBM seemed to suggest that the company had walked away from the deal because it wasn’t worth it in terms of price. “There is good business and not so good business. IBM will do deals where we are confident of meeting our own metrics…,” said Avinash V. Joshi, director of communications sector at IBM India and South Asia. According to Joshi, IBM had “signed off” on the Unitech deal months before it was announced.
IBM
IBM To Buy Red Hat (Eventually): Jefferies Contends
At some point, IBM (IBM) is almost certainty going to buy Red Hat (RHT), according to Jefferies analyst Katherine Egbert.
In a research note this morning, Egbert wrote that it is “inevitable that Red Hat will be subsumed into a larger entity, probably IBM, given the strategic importance of [Red Hat Enterprise Linux} with the data center and a potential infrastructure price war between Oracle and Microsoft.”
Egbert repeated her Buy rating on the stock today, and upped her price target to $21, from $18. She says checks find solid demand for both RHEL and Jboss in the May quarter. She notes that the company has recently added a dedicated Jboss sales team in the U.S., and also beefed up its government sales force.
On a cautionary note, she points out that, given the pending Oracle acquisition of Sun, she says Oracle will inevitably favor Solaris over Red Hat Linux, “as Oracle seeks to protect the declining Solaris maintenance stream.” She notes that a third of Red Hat’s new business comes form Unix-to-Linux migrations. “The danger to Red Hat is that Oracle will offer customers attractive terms to stay on Solaris, potentially even paying them not to migrate.”
In a research note this morning, Egbert wrote that it is “inevitable that Red Hat will be subsumed into a larger entity, probably IBM, given the strategic importance of [Red Hat Enterprise Linux} with the data center and a potential infrastructure price war between Oracle and Microsoft.”
Egbert repeated her Buy rating on the stock today, and upped her price target to $21, from $18. She says checks find solid demand for both RHEL and Jboss in the May quarter. She notes that the company has recently added a dedicated Jboss sales team in the U.S., and also beefed up its government sales force.
On a cautionary note, she points out that, given the pending Oracle acquisition of Sun, she says Oracle will inevitably favor Solaris over Red Hat Linux, “as Oracle seeks to protect the declining Solaris maintenance stream.” She notes that a third of Red Hat’s new business comes form Unix-to-Linux migrations. “The danger to Red Hat is that Oracle will offer customers attractive terms to stay on Solaris, potentially even paying them not to migrate.”
Wednesday, May 13, 2009
IBM
IBM acquires Indian founded Exeros Technologies
Software giant IBM has acquired Piyush Gupta co-founded Exeros Technologies, a provider of data discovery software, intending to capture the Business Analytics Optimization Consulting market.
The acquisition is seen as the return of IBM's strategy of capturing the small scale software companies. However, the internal team of Exeros including the top management and the Research and Development wing will be retained. Exeros was founded in 2002.
The acquisition is seen as the return of IBM's strategy of capturing the small scale software companies. However, the internal team of Exeros including the top management and the Research and Development wing will be retained. Exeros was founded in 2002.
Wednesday, May 6, 2009
H1-B, IBM, IT market, Outsourcing, Wipro
Obama tax move may hit DTAA
The decision by President Barack Obama to plug loopholes in the tax regime for US multinational companies is likely to impact their Indian operations as well. Indian subsidiaries of US firms may no longer be able to claim benefits under the Indo-US double-tax avoidance agreement (DTAA).
Current US laws allow businesses to claim credit against their US tax bill on taxes paid abroad on overseas profits. Obama is planning to close such foreign tax credits, and hopes to net $43 billion. "Article 25 of the Indo-US DTAA provides relief from double taxation, subject to US domestic laws. This may now be open for a reinterpretation," pointed out KPMG head of taxation Uday Ved.
Obama's Monday announcement comes close on the heels of moves by the current administration in Washington to further restrict H-1B visas, which will not only have a direct bearing on Indian IT companies, but also on US firms that depend on overseas talent to remain competitive.
The US president has proposed outlawing three offshore tax-saving strategies commonly used by US multinationals, and is expected to generate $210 billion over the next decade. Companies like General Electric, PandG and Citigroup were being seen as among those likely to be affected. All three have a significant presence in India.
The immediate impact, reckon experts, is that Indian subsidiaries of US firms such as Pfizer, Microsoft, IBM and Oracle could see their tax bills rise significantly once lawmakers pass the measures. Deloitte tax analysts estimate that the Obama changes could boost overall US corporate taxes on average by 8%.
The new tax proposals would be effected by removing relaxations that currently allow businesses to deduct expenses on their overseas operations while paying taxes in the US and by closing foreign tax credit loopholes.
By disallowing business expenses, US multinationals working out of India or any other low-cost outsourcing hub may no longer be able to deduct costs such as employee wages while filing tax returns in the US, thereby increasing their tax liability. Corporate income attracts a 35% tax in the US.
Reacting to the tax credit proposal, Nasscom in a statement, said: "Global companies that earn profits in India are subject to a tax rate of 33.9% (including surcharge and cess) and the impact of the proposed reforms on them would be marginal." However, until the exact details of the Obama tax proposals are available, the jury is still out on their precise impact.
Analysts said Indian subsidiaries of US firms that are export-oriented units are almost certain to be hit. At present, such companies only pay an 11% minimum alternate tax and a 15% dividend distribution tax in India and claim a tax credit on these in the US. But with the planned amendment, they could end up paying a 35% tax in the US on their entire income from operations in India.
What's more, with the proposed changes, analysts said the US may no longer be suitable for setting up holding companies for non-US entities. "Even traditionally, the US has not been a favoured jurisdiction for holding non-US entities. The direction of this policy only confirms this view. More companies will reorganise their non-US businesses away from a US holding company," said Ernst and Young partner Srinavas Rao.
The Indian outsourcing industry, though, is likely to remain insulated from Obama's move. Nevertheless, in a related development, the $40-billion domestic IT industry could see significant new restrictions if the H-1B and L-1 Visa Reform Act introduced by senators Dick Durbin and Chuck Grassley is passed as it would require employers to pay H-1B and L-1 workers the highest local prevailing wage for the job.
Nasscom president Som Mittal, in an interaction with the US-India Business Council on Monday, described the legislation as "draconian". "It will have an extremely adverse impact on Indian and US companies. While Nasscom does support measures to reduce fraud and abuse of the H-1B visa programme, the provisions of this Bill deliberately targets US and Indian companies," he added.
Though H-1B employees must be paid according to the US prevailing wage structure, there is no such provision for L-1 workers. But, says KPMG India director-IT advisory services Viral Thakkar: "Wages paid to H-1B visa-holders is market dependent and usually less than what a local employee would get." Industry insiders say employers typically pay H-1B employees between $45,000 to 60,000 a year.
The Act is set to increase the cost of IT companies who now bank on low wages paid to the Indians for onsite projects. At the moment, the wage bill works out to 15-20% of sales for onsite employees for larger companies. With the proposed legislation, operating margins that were already tumbling on account of pricing pressure could narrow further.
"This provision is basically to curb the misuse of bringing employees on H-1B and paying them less than the mandatory wage. But the larger issue is there is a lack of available skills in the US and these restrictions could become a concern," said Zensar Technologies global CEO Ganesh Natarajan.
Also, employers would be prohibited from displacing a US worker with an H-1B worker in the period beginning 180 days before and after the filing of an H-1B or L-1 petition, increased from 90 days under existing law. This is expected to have an impact on project implementation, and thereby collections.
Current US laws allow businesses to claim credit against their US tax bill on taxes paid abroad on overseas profits. Obama is planning to close such foreign tax credits, and hopes to net $43 billion. "Article 25 of the Indo-US DTAA provides relief from double taxation, subject to US domestic laws. This may now be open for a reinterpretation," pointed out KPMG head of taxation Uday Ved.
Obama's Monday announcement comes close on the heels of moves by the current administration in Washington to further restrict H-1B visas, which will not only have a direct bearing on Indian IT companies, but also on US firms that depend on overseas talent to remain competitive.
The US president has proposed outlawing three offshore tax-saving strategies commonly used by US multinationals, and is expected to generate $210 billion over the next decade. Companies like General Electric, PandG and Citigroup were being seen as among those likely to be affected. All three have a significant presence in India.
The immediate impact, reckon experts, is that Indian subsidiaries of US firms such as Pfizer, Microsoft, IBM and Oracle could see their tax bills rise significantly once lawmakers pass the measures. Deloitte tax analysts estimate that the Obama changes could boost overall US corporate taxes on average by 8%.
The new tax proposals would be effected by removing relaxations that currently allow businesses to deduct expenses on their overseas operations while paying taxes in the US and by closing foreign tax credit loopholes.
By disallowing business expenses, US multinationals working out of India or any other low-cost outsourcing hub may no longer be able to deduct costs such as employee wages while filing tax returns in the US, thereby increasing their tax liability. Corporate income attracts a 35% tax in the US.
Reacting to the tax credit proposal, Nasscom in a statement, said: "Global companies that earn profits in India are subject to a tax rate of 33.9% (including surcharge and cess) and the impact of the proposed reforms on them would be marginal." However, until the exact details of the Obama tax proposals are available, the jury is still out on their precise impact.
Analysts said Indian subsidiaries of US firms that are export-oriented units are almost certain to be hit. At present, such companies only pay an 11% minimum alternate tax and a 15% dividend distribution tax in India and claim a tax credit on these in the US. But with the planned amendment, they could end up paying a 35% tax in the US on their entire income from operations in India.
What's more, with the proposed changes, analysts said the US may no longer be suitable for setting up holding companies for non-US entities. "Even traditionally, the US has not been a favoured jurisdiction for holding non-US entities. The direction of this policy only confirms this view. More companies will reorganise their non-US businesses away from a US holding company," said Ernst and Young partner Srinavas Rao.
The Indian outsourcing industry, though, is likely to remain insulated from Obama's move. Nevertheless, in a related development, the $40-billion domestic IT industry could see significant new restrictions if the H-1B and L-1 Visa Reform Act introduced by senators Dick Durbin and Chuck Grassley is passed as it would require employers to pay H-1B and L-1 workers the highest local prevailing wage for the job.
Nasscom president Som Mittal, in an interaction with the US-India Business Council on Monday, described the legislation as "draconian". "It will have an extremely adverse impact on Indian and US companies. While Nasscom does support measures to reduce fraud and abuse of the H-1B visa programme, the provisions of this Bill deliberately targets US and Indian companies," he added.
Though H-1B employees must be paid according to the US prevailing wage structure, there is no such provision for L-1 workers. But, says KPMG India director-IT advisory services Viral Thakkar: "Wages paid to H-1B visa-holders is market dependent and usually less than what a local employee would get." Industry insiders say employers typically pay H-1B employees between $45,000 to 60,000 a year.
The Act is set to increase the cost of IT companies who now bank on low wages paid to the Indians for onsite projects. At the moment, the wage bill works out to 15-20% of sales for onsite employees for larger companies. With the proposed legislation, operating margins that were already tumbling on account of pricing pressure could narrow further.
"This provision is basically to curb the misuse of bringing employees on H-1B and paying them less than the mandatory wage. But the larger issue is there is a lack of available skills in the US and these restrictions could become a concern," said Zensar Technologies global CEO Ganesh Natarajan.
Also, employers would be prohibited from displacing a US worker with an H-1B worker in the period beginning 180 days before and after the filing of an H-1B or L-1 petition, increased from 90 days under existing law. This is expected to have an impact on project implementation, and thereby collections.
Thursday, April 30, 2009
IBM
IBM India awarded contract by HDFC Bank
HDFC Bank, a private sector bank in India, has announced an agreement with information technology company IBM India to build a cost-effective IT framework that will support its strong business growth. According to the company, the collaboration will enable HDFC Bank to keep its credit card processing requirements in-house while offering uninterrupted service to its customers. It will also eliminate additional investments in data centre costs and offer the option to migrate other HDFC Bank applications, such as core banking, to System z mainframes.
The collaboration is also expected to benefit customers by adding more features on existing credit card products, enabling higher processing speed and quicker response time. It will also scale up the customer service process and enhance interfacing capabilities with other applications, leading to more features on self-service channels like Internet.
The collaboration is also expected to benefit customers by adding more features on existing credit card products, enabling higher processing speed and quicker response time. It will also scale up the customer service process and enhance interfacing capabilities with other applications, leading to more features on self-service channels like Internet.
IBM
Bizerba India signs up IBM PartnerWorld Program
Leading retail solution provider Bizerba India has announced that it has joined the IBM PartnerWorld Program. According to a company press release, Bizbera will work closely with IBM India to provide a one stop solution to retailers across the country.
Tuesday, April 21, 2009
IBM
Oracle to Buy Sun for $7.4 Billion as IBM Talks End
Source: bloomberg.com
Oracle Corp. agreed to buy Sun Microsystems Inc. for about $7.4 billion in cash, swooping in after the server maker’s talks to be acquired by International Business Machines Corp. failed.
Oracle will pay $9.50 a share, 42 percent more than Sun’s closing price on April 17. Oracle plans to make Sun a profitable part of its business and said the purchase will add $1.5 billion to operating earnings, excluding some items, in the first year.
Oracle Corp. agreed to buy Sun Microsystems Inc. for about $7.4 billion in cash, swooping in after the server maker’s talks to be acquired by International Business Machines Corp. failed.
Oracle will pay $9.50 a share, 42 percent more than Sun’s closing price on April 17. Oracle plans to make Sun a profitable part of its business and said the purchase will add $1.5 billion to operating earnings, excluding some items, in the first year.
Friday, April 17, 2009
IBM
IBM wins $372 mn deal
IBM has won a C$450 million ($372 million) deal to manage information technology infrastructure for Canada's National Bank Financial Group, the tech giant said on Thursday.
The seven-year deal is an early renewal of a contract that was first signed in 2001. Its announcement comes a week after IBM won a similar deal worth more than C$300 million with Canadian insurance giant Sun Life Financial.
Services that IBM will provide National Bank include mainframe, server management and end-user services.
The aim is to simplify the bank's information technology infrastructure while making it more efficient and resilient, IBM said.
The seven-year deal is an early renewal of a contract that was first signed in 2001. Its announcement comes a week after IBM won a similar deal worth more than C$300 million with Canadian insurance giant Sun Life Financial.
Services that IBM will provide National Bank include mainframe, server management and end-user services.
The aim is to simplify the bank's information technology infrastructure while making it more efficient and resilient, IBM said.
Wednesday, April 15, 2009
Cost cutting, IBM
No free coffee for IBMers from May 1
IBM worldwide has begun cost cuts in order to battle the effects of the global financial crisis and will scrap office amenities such as tea and coffee, and even company-funded home internet access.
From May 1, IBM will cease to reimburse Internet access for staff working from home. Direct pay corporate managed and contracted home Internet services will also be scrapped.
"IBM will cease the reimbursement of home internet access for employees," The Australian quoted the company, as saying in an email to staff.
"Secondly, over the next several months the provision of some office amenities, including tea and coffee supplies, will be phased out. Where it makes sense, our intent is to replace this with user-paid vending machines at selected sites."
IBM said the expiring home Internet policy was developed in the 1990s, when home Internet was not the norm. The cost-cutting measures would allow IBM to continue workforce programmes including a salary bonus pool, a single-cycle salary review later in the year, funding education to support revenue generation and continuing to invest billions in research and development, it said.
IBM Australia declined to reveal how much money it expected to save from the cost-cutting initiatives.
IBM reported a 12 per cent gain to $4.4 billion in net income for the fourth quarter of 2008, but slipped 6 per cent in revenue to $27 billion when the recession hit technology spending.
In January, IBM sent layoff notices to more than 2800 people in its sales and software groups in the US. The latest round of job cuts at IBM was announced last month, when industry sources said another 5000 IBM workers in the US would lose their jobs.
From May 1, IBM will cease to reimburse Internet access for staff working from home. Direct pay corporate managed and contracted home Internet services will also be scrapped.
"IBM will cease the reimbursement of home internet access for employees," The Australian quoted the company, as saying in an email to staff.
"Secondly, over the next several months the provision of some office amenities, including tea and coffee supplies, will be phased out. Where it makes sense, our intent is to replace this with user-paid vending machines at selected sites."
IBM said the expiring home Internet policy was developed in the 1990s, when home Internet was not the norm. The cost-cutting measures would allow IBM to continue workforce programmes including a salary bonus pool, a single-cycle salary review later in the year, funding education to support revenue generation and continuing to invest billions in research and development, it said.
IBM Australia declined to reveal how much money it expected to save from the cost-cutting initiatives.
IBM reported a 12 per cent gain to $4.4 billion in net income for the fourth quarter of 2008, but slipped 6 per cent in revenue to $27 billion when the recession hit technology spending.
In January, IBM sent layoff notices to more than 2800 people in its sales and software groups in the US. The latest round of job cuts at IBM was announced last month, when industry sources said another 5000 IBM workers in the US would lose their jobs.
Tuesday, April 14, 2009
IBM
IBM signs 10-year IT outsourcing agreement with an Indian co-operative bank
Monday, IT giant International Business Machines Corp. (IBM: News ) said that it has signed a 10-year information technology outsourcing agreement with Kurmanchal Nagar Sahakari Bank Ltd., an urban co-operative bank in the state of Uttarakhand in India. Financial terms of the deal were not disclosed.
Under the agreement, IBM will remotely host and manage the IT infrastructure, manage the disaster recovery site and provide the networking infrastructure for the bank. IBM said that this would help the bank focus on its aggressive expansion plans while reducing its capital expenditure on IT by as much as 60%.
Under the agreement, IBM will remotely host and manage the IT infrastructure, manage the disaster recovery site and provide the networking infrastructure for the bank. IBM said that this would help the bank focus on its aggressive expansion plans while reducing its capital expenditure on IT by as much as 60%.
IBM
IBM bags another outsourcing deal from Bharti
Global IT major IBM has bagged yet another outsourcing deal from Bharti Airtel, the country’s largest private telecom company. IBM will manage the IT requirements of Bharti’s hived-off tower arm, Bharti Infratel. The deal is estimated to be worth around Rs 250 crore, according to executives in the know of the development.
When asked on the IBM deal, the Bharti spokesman confirmed the development: “Bharti Infratel has outsourced its IT platform to IBM to bring in a comprehensive architecture that provides benefits to its customers, suppliers and employees. This is a continuation of Bharti’s strategic partnership with IBM across its various businesses, including
Bharti Airtel and Bharti Retail.” But he refused to comment on the deal size and the duration.
When asked on the IBM deal, the Bharti spokesman confirmed the development: “Bharti Infratel has outsourced its IT platform to IBM to bring in a comprehensive architecture that provides benefits to its customers, suppliers and employees. This is a continuation of Bharti’s strategic partnership with IBM across its various businesses, including
Bharti Airtel and Bharti Retail.” But he refused to comment on the deal size and the duration.
IBM, Layoffs in USA
IBM to cut `thousands’ of jobs
International Business Machines Corp plans to cut “thousands” of staff in the UK, Germany and Ireland as it shifts jobs to eastern Europe, China, India and South America, the Observer reported.
Job reductions have already been carried out in western Europe and more will be made within months, the newspaper said, citing Lee Conrad of Alliance@IBM, a network for company employees.
Indian workers at the company earn about 10 per cent of the amount paid to US employees performing similar tasks, according to the newspaper.
An IBM official told the Observer that a number of US employees have been laid off, declining to comment on future job reductions.
London-based IBM spokesman Joe Hanley said IBM declined to comment on “speculation regarding resource actions.”
Job reductions have already been carried out in western Europe and more will be made within months, the newspaper said, citing Lee Conrad of Alliance@IBM, a network for company employees.
Indian workers at the company earn about 10 per cent of the amount paid to US employees performing similar tasks, according to the newspaper.
An IBM official told the Observer that a number of US employees have been laid off, declining to comment on future job reductions.
London-based IBM spokesman Joe Hanley said IBM declined to comment on “speculation regarding resource actions.”
Friday, April 10, 2009
IBM
IBM signs seven-year info tech deal with Sun Life
IBM has signed a seven-year deal with Sun Life Financial to manage the insurance giant's information technology operations in Canada and the United States.
The agreement, which IBM said is worth more than C$300 million ($242 million), expands on a contract signed in 2002.
"Our partnership is being extended further to provide new highly integrated, cost-effective and intelligent solutions to support Sun Life business goals," Saad Toma, general manager of global technology services at IBM Canada, said in a statement on Thursday.
The extended deal adds infrastructure and operations services to the existing mainframe services being provided, the company said.
The agreement, which IBM said is worth more than C$300 million ($242 million), expands on a contract signed in 2002.
"Our partnership is being extended further to provide new highly integrated, cost-effective and intelligent solutions to support Sun Life business goals," Saad Toma, general manager of global technology services at IBM Canada, said in a statement on Thursday.
The extended deal adds infrastructure and operations services to the existing mainframe services being provided, the company said.
IBM, Outsourcing
IBM bags another outsourcing deal from Bharti
Global IT major IBM has bagged yet another outsourcing deal from Bharti Airtel, the country’s largest private telecom company. IBM will manage the IT requirements of Bharti’s hived-off tower arm, Bharti Infratel. The deal is estimated to be worth around Rs 250 crore, according to executives in the know of the development.
When asked on the IBM deal, the Bharti spokesman confirmed the development: “Bharti Infratel has outsourced its IT platform to IBM to bring in a comprehensive architecture that provides benefits to its customers, suppliers and employees. This is a continuation of Bharti’s strategic partnership with IBM across its various businesses, including Bharti Airtel and Bharti Retail.” But he refused to comment on the deal size and the duration.
When asked on the IBM deal, the Bharti spokesman confirmed the development: “Bharti Infratel has outsourced its IT platform to IBM to bring in a comprehensive architecture that provides benefits to its customers, suppliers and employees. This is a continuation of Bharti’s strategic partnership with IBM across its various businesses, including Bharti Airtel and Bharti Retail.” But he refused to comment on the deal size and the duration.
Tuesday, April 7, 2009
IBM
Bharti's $750 mn IBM IT deal touches $2.5 bn mark
India's largest private telecom company, Bharti Airtel's 10-year $750 million outsourcing deal with IBM has touched the $2.5 billion mark as of March-end 2009, a top executive familiar with the deal told ET.
This week, Bharti and IBM are set to kick off celebrations in Delhi to mark the half-way tenure (five-year mark) of this first-of-its kind IT outsourcing deal.
Riding on the success of this deal with Bharti, IBM had also signed similar outsourcing deals with Vodafone and Idea Cellular last year, worth $1.2 billion and $900 million, respectively. In February this year, IBM also announced an IT outsourcing deal with Malaysia’s leading operator Maxis. Executive familiar with this partnership said that the Maxis deal was too, similar to the ones IBM has with the Indian operators.
This week, Bharti and IBM are set to kick off celebrations in Delhi to mark the half-way tenure (five-year mark) of this first-of-its kind IT outsourcing deal.
Riding on the success of this deal with Bharti, IBM had also signed similar outsourcing deals with Vodafone and Idea Cellular last year, worth $1.2 billion and $900 million, respectively. In February this year, IBM also announced an IT outsourcing deal with Malaysia’s leading operator Maxis. Executive familiar with this partnership said that the Maxis deal was too, similar to the ones IBM has with the Indian operators.
Monday, April 6, 2009
IBM
IBM’s Takeover Discussions With Sun Said to Collapse
International Business Machines Corp.’s acquisition talks with Sun Microsystems Inc. have collapsed, putting the biggest technology deal of the year at risk of failure, a person familiar with the matter said.
Sun informed IBM yesterday that it was breaking off exclusive negotiations, and in response IBM withdrew its offer to buy Sun, according to a person familiar with the situation. The price being discussed was about $9.40 a share. Sun officials said that price was too low, said the person, who declined to be identified because the talks are private.
At the price being discussed, the purchase would be the largest in IBM’s history. Sun balked because there were no guarantees in the merger contract that IBM would close the deal if the companies encountered barriers or delays such as an antitrust review, the person said.
Sun informed IBM yesterday that it was breaking off exclusive negotiations, and in response IBM withdrew its offer to buy Sun, according to a person familiar with the situation. The price being discussed was about $9.40 a share. Sun officials said that price was too low, said the person, who declined to be identified because the talks are private.
At the price being discussed, the purchase would be the largest in IBM’s history. Sun balked because there were no guarantees in the merger contract that IBM would close the deal if the companies encountered barriers or delays such as an antitrust review, the person said.
Wednesday, April 1, 2009
IBM
IBM drops patent application for outsourcing offshore jobs
The same day the Times Herald-Record reported IBM had applied to patent a computerized system to help businesses outsource offshore jobs while maximizing government tax breaks, Big Blue did an about-face.
The application "was filed in error and will be withdrawn," IBM spokesman Steve Malkiewicz said Monday.
IBM's filing with the U.S. patent office describes a "method and system for strategic global resource sourcing," weighing such goals as "50 percent of resources in China by 2010" against such factors as labor costs, infrastructure and the "minimum head count to qualify for incentives."
Some 17 months ago, IBM abruptly withdrew a similar application immediately after it was made public.
"A method for identifying human-resource work content to outsource offshore of an organization," was submitted for a patent in January 2006.
The application "was filed in error and will be withdrawn," IBM spokesman Steve Malkiewicz said Monday.
IBM's filing with the U.S. patent office describes a "method and system for strategic global resource sourcing," weighing such goals as "50 percent of resources in China by 2010" against such factors as labor costs, infrastructure and the "minimum head count to qualify for incentives."
Some 17 months ago, IBM abruptly withdrew a similar application immediately after it was made public.
"A method for identifying human-resource work content to outsource offshore of an organization," was submitted for a patent in January 2006.
Saturday, March 28, 2009
IBM, severance package
IBM's golden handshake to employees
Source: TheEconomicTimes
The severance package that IT giant IBM is expected to give employees selected for a layoff reportedly includes a lump sum severance payment as well as counseling and financial planning services.
According to media reports, the company will cut about 5,000 jobs in the United States. The job cuts will account for over 4 per cent of IBM's US workforce, which totaled around 115,000 at the end of 2008.
According to a report in Computerworld, here’s what the laid off IBM employees are slated to receive:
A lump sum separation payment equal to one week of pay for each fully completed six months of service based on the most recent date of hire, with a minimum of two weeks and a maximum of 26 weeks.
Eligibility for a continued IBM subsidy for medical coverage. The coverage period is three months for less than five years of service; six months for five or more years but less than 25 years of service, and 12 months for 25 or more years of service. Transitional group life insurance follows a similar formula.
Outplacement and career counseling, with reimbursement of up to $2,500 for job-related skills training completed within 12 months of departure date, among other services.
The ability to apply for other jobs within IBM, as well as take jobs overseas, but the pay will be at local rates. The company says overseas work "may not appeal to everyone, but it can be a good fit for IBMers who are interested in broadening their skills by living and working abroad, or for those with a cultural or heritage link to one of the countries where positions are open."
The severance package that IT giant IBM is expected to give employees selected for a layoff reportedly includes a lump sum severance payment as well as counseling and financial planning services.
According to media reports, the company will cut about 5,000 jobs in the United States. The job cuts will account for over 4 per cent of IBM's US workforce, which totaled around 115,000 at the end of 2008.
According to a report in Computerworld, here’s what the laid off IBM employees are slated to receive:
A lump sum separation payment equal to one week of pay for each fully completed six months of service based on the most recent date of hire, with a minimum of two weeks and a maximum of 26 weeks.
Eligibility for a continued IBM subsidy for medical coverage. The coverage period is three months for less than five years of service; six months for five or more years but less than 25 years of service, and 12 months for 25 or more years of service. Transitional group life insurance follows a similar formula.
Outplacement and career counseling, with reimbursement of up to $2,500 for job-related skills training completed within 12 months of departure date, among other services.
The ability to apply for other jobs within IBM, as well as take jobs overseas, but the pay will be at local rates. The company says overseas work "may not appeal to everyone, but it can be a good fit for IBMers who are interested in broadening their skills by living and working abroad, or for those with a cultural or heritage link to one of the countries where positions are open."
Subscribe to:
Posts (Atom)