Perth-based systems integrator Empired has landed two contracts with Western Power to provide a diverse range of services for up to seven years, marking the largest deals in the company's 21-year history.
The two contracts will be worth $61 million during the initial five-year term. The incumbent suppliers were ASG and ZettaServe.
The first deal, an infrastructure managed services contract, will see Empired provide end user computing services to more than 3300 Western Power staff and contractors, providing 24x7 service management using Empired’s service desk and national operations centres, manage all data centres and cloud operations, as well as more than 2000 network devices across 30 sites.
This portion of the project will be worth about $31 million over a five-year period. Transition to these services has already taken place and will be completed by early August, Empired said in a note to shareholders.
Empired has also been awarded a preferred master IT supply contract valued at around $30 million, spanning five years, to provision a technology enhancement program in support of the managed services scope.
Specifically, this involves core back-end services to cloud and digital platforms.
As a result, Empired has also partnered with HCL Technologies to provide leveraged offshore resourcing and access to intellectual property in the energy and power sector. The company will also look at hiring an additional 75 staff in Western Australia for these contracts.
“It is a privilege and testament to Empired’s capability to be trusted by Western Power to manage systems that are critical to the safe and reliable distribution of power to Western Australia,” Empired managing director Russell Baskerville said.
“While we navigate an uncertain economic climate as a result of the COVID-19 pandemic, Empired’s focus is firmly on delivering on its commitments to Western Power. This contract win a testament to Empired’s extensive capability and ability to compete and win against the largest Australian and international competitors.”
According to Western Power CIO Andrew Smith, Empired’s solution provided a modern approach to managed services incorporating continuous innovation, the use of artificial intelligence operations, its operations centre and access to global IP and thought leadership through the HCL Technologies partnership.
“We are confident this will let Western Power drive improved efficiency and productivity while ensuring digital platforms are optimised to provide improved services to all stakeholders,” Smith said.
For the past five years, Empired has provided and retained, the network infrastructure and contact centre managed services across Western Power's IT and operational technology (OT) systems.
Additionally, Empired has assisted Western Power across a range of applications and technologies.
During the first half of FY20, Empired saw revenue drop five per cent to $84 million, while consolidated net profit fell 10 per cent to $2 million.
In November, Baskerville revealed the company had secured a number of new managed services contracts, worth about $5 million per annum, and remained highly focused on a number of material contracts in the coming months, while also growing its East Coast presence with key appointments.
At the time, the publicly listed provider reassured shareholders the amount would plug the revenue hole left by the loss of its IT infrastructure contract with Main Roads WA.