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Qantas awards IBM Global Services A$650 million IT services contract

  • 17 May, 2004 16:04

<p>Qantas awards IBM Global Services A$650 million
IT services contract</p>
<p>Sydney, 17 May 2004</p>
<p>IBM announced today that Qantas has selected IBM Global Services to manage its data centre and related information technology (IT) requirements. Qantas’ decision to outsource its IT systems will allow the airline to adapt and respond more rapidly to changes in the airline transport industry and to focus more time and resources on business growth. The agreement is worth A$650 million over ten years and is planned to commence on 31 May.</p>
<p>There are two parts to IBM’s agreement with Qantas. Firstly, IBM will migrate Qantas’ servers to a shared infrastructure at an IBM data centre in Sydney, which will enable Qantas to access processing power and storage capacity on an on demand basis. Using a variable pricing model, Qantas will pay only for the computing power it uses, which has the potential to reduce the airline’s IT costs significantly.</p>
<p>Secondly, IBM Global Services will manage a range of services, including service desk support, security and change management, across all of Qantas’ IT service providers. Centralising these services will reduce administration time and other costs for Qantas.</p>
<p>According to Brendon Riley, General Manager, IBM Global Services Australia and New Zealand, the services arrangement with IBM will give Qantas the ability to quickly scale its infrastructure and staff resources so it can respond more rapidly to customer demands and growth opportunities.</p>
<p>Riley said, “This agreement will assist Qantas in becoming an on demand enterprise. It is not only IBM’s data centre infrastructure and variable cost model that will provide increased flexibility and efficiency to Qantas. IBM gives Qantas access to thousands of professionals with an extensive range of skills as well. IBM also brings to Qantas a wealth of industry experience in managing IT systems in a 24 by 7 environment for many other airlines across the globe.</p>
<p>“Our relationship with Qantas goes back many decades. We have great respect for the talent, standards and achievements of the Qantas team over this time. This agreement creates a new business model for both Qantas and IBM which will continue to evolve and enhance our relationship over the next decade,” he added.</p>
<p>Technical notes to editors:</p>
<p>Under its contract with Qantas, IBM will provide the following services:</p>
<p>Data Centre Services
- Mainframe Servers: involves the migration of staff and assets from Qantas data centre to IBM facilities in Sydney.
- Applications Servers: involves approximately 400 mid-range servers, most of which will migrate to IBM facilities but some may stay on Qantas premises. Approximately 80 per cent of the mid-range servers will migrate from Unix platforms to Linux platforms.</p>
<p>Cross Functional Services
- Service Desk: IBM will provide an integrated Service Desk for all service providers (inc. IBM, Telstra, Amadeus and SITA) in order to assist in the management of problems and requests for service.
- Problem Management: IBM will provide end-to-end problem management across all IT service providers.
- Change Management: IBM will provide end-to-end change management across all IT service providers.
- Procurement Services: IBM will provide an integrated procurement service for IBM and Telstra for acquisition of servers and other hardware and software.
- Security Services: IBM will provide an integrated security service across the scope covered by IBM and Telstra in accordance with Qantas standards.</p>
<p>Project Services
- IBM will provide skilled staff to support new business initiatives undertaken by Qantas.</p>
<p>About IBM Global Services
IBM Global Services is the world's largest information technology services and consulting provider, generating record revenue and signings in 2003 of US$42.6 billion and US$55.5 billion, respectively. Some 180,000 professionals in more than 160 countries help clients integrate information technology with business value – from the business transformation and industry expertise of IBM Business Consulting Services to hosting, infrastructure, technology design and training services.</p>
<p>Leveraging IBM's unequalled scope and scale, IBM Global Services delivers integrated, flexible and resilient processes -- across companies and through business partners -- that enable clients to benefit from the on demand business model by saving money and transforming their businesses to be more competitive. For more information, visit</p>
<p>For further media information, please contact:
Jennifer Arnold
Corporate Communications Manager
IBM Global Services Australia &amp; New Zealand
Tel: 02 9478 8326
Mob: 0412 33 66 37
<p>Blair Earl
account manager
Tel: 61 2 9956 5733
Mobile: 61 402 031 064
Fax: 61 2 9956 5406

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