WebCentral wins $20m Education deal

WebCentral wins $20m Education deal

Web hosting powerhouse Web Central has won a lucrative deal worth up to $20.3 million with Education Queensland that will see a range of Internet services provider to the State’s public schools.

To be managed by Web Central’s enterprise division (WebCentral Complex), the deal sees WebCentral migrate some 540,000 single users across from Telstra to two redundant data centres in Brisbane.

Telstra previously managed the Internet Services for Education Queensland.

It had previously offered Education Queensland managed email and browser access alongside its connectivity solutions, but the telco plans to now stick purely to connectivity.

WebCentral will extend the functionality of these Internet services Telstra had always offered by migrating users onto the Sun ONE Infrastructure that includes a “portal” style application for the students’ Internet-related needs.

The arrangement spans three years and will cost Education Queensland about $16.4 million. An additional two-year option once this has expired would take the total revenue to $20.3 million.

General manager of WebCentral Complex, Sally-Anne Stansfield, said the deal could be worth even more, depending on the usage rates of students at the schools.

“We have implemented a highly scalable system, so there is a capacity for the arrangement to grow,” she said.

Stansfield said WebCentral won a tender for the deal based on its size and reputation in the market.

“We are the largest Web hosting company in Australia, we are profitable and cash-flow positive, and we continue to grow,” she said. “In short, we are the safest option for a deal like this.”

WebCentral also hada lot of experience with migrating a large number of users from one system to another, she said.

“We have the battle-hardened and trusted systems that have been used time and time again, and the people that are experienced at doing this kind of thing over many times,” Stansfield said.

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