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Motorola outsources IT management

Sandeep Junnarkar CNET News

Published: 27 Mar 2003 15:39 GMT

Computer Sciences on Thursday announced a 10-year, $1.6bn (£1bn) contract to manage Motorola's worldwide information technology infrastructure.

The IT services company will oversee Motorola's midrange, desktop and distributed computing operations, as well as its global help-desk and network facilities.

The deal also calls for Computer Sciences to acquire certain unspecified Motorola IT infrastructure and network assets. In addition, about 1,300 Motorola employees are expected to join Computer Sciences as part of the agreement. More than half of these employees are based in the US, and the rest are scattered across Europe, the Middle East and other parts of the world.

Computer Sciences will begin managing Motorola's IT infrastructure on 1 May.

Recently, the services company has been working to take a greater role in managing IT infrastructure for government agencies. Computer Sciences, which reported revenue of $11.3bn in 2002, competes with IBM Global Services, EDS and a host of smaller players to provide computer services and support.

Motorola, which makes semiconductors and telecommunications equipment, has been urging wireless companies to place a renewed emphasis on voice calls, their chief product. With the new agreement, Motorola hopes to focus on product development, leaving the management of its IT to Computer Sciences.

Computer Sciences said it will standardise Motorola's IT processes, enhance security and integrate technology architectures.

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