BT, HP Sign $660 Million Contract Amendment

By Rajani Baburajan

TMCnet Contributing Editor

 

BT (News - Alert) has entered into a $660 million contract with HP to extend the transformation of its technology environment. The $660 million contract amendment is part of the BT HP Alliance, a working partnership between the two companies.

 

BT HP Alliance’s goal is to transform and simplify customers’ networked IT services and provides better costs points, flexibility, service levels and time to market for BT’s customers. It also reinforces BT’s ability to meet customer needs today and into the future, while delivering cost reductions.

 

The $660 million contract, which lets HP to continue to offer, deploy and support BT’s servers and storage, extends the companies’ current agreement for the next 7.5 years.

 

As per the agreement, HP will continue to deliver service desk and end user services to more than 100,000 BT users across the United Kingdom. BT is one of the world’s leading providers of communications solutions and services operating in 170 countries.

 

“This contract renewal offers BT competitively priced services across a number of key areas of our IT infrastructure,” said David Butcher, managing director of the service introduction division at BT Operate, in a statement. “HP is a key partner for BT and this deal will create the platform for accelerated innovation and delivery of services for our customers.”

 

“HP will support the management and transformation of the BT technology environment into an increasingly agile, cost-effective infrastructure designed to deliver what their business requires,” said Francesco Serafini, senior vice president and managing director of the EMEA division at HP, in a statement.

 

The deal is part of the ongoing strategic relationship between the two companies via the BT HP Alliance. The alliance has created more than $5.3 billion of new revenue for BT and HP since 2004.

 

The deal is expected to assist BT whose principal activities include the provision of networked IT services globally; local, national and international telecommunications services to customers for use at home, at work and on the move; broadband and Internet products and services and converged fixed/mobile products and services. BT and HP are building the networked IT infrastructure that delivers new customer business models.