EDS To Handle $1.3 Billion PC Upgrade For U.K. Defense Agency
05/01/2007
EDS is undertaking the work as lead contractor in the so-called ATLAS consortium, which also includes Fujitsu, General Dynamics, EADS Defence and Security Systems, and LogicaCMG.

By Paul McDougall InformationWeek

ene 4, 2007 12:00 PM

The U.K. government has awarded U.S. outsourcer Electronic Data Systems a $1.27 billion work order to install thousands of desktop computers for use by British armed forces personnel, EDS disclosed Thursday.

Under the deal, an addition to an existing ten-year, $4 billion IT modernization contract that EDS holds with the U.K.'s Ministry of Defense, EDS will install 44,000 workstations at a number of MOD locations in the U.K. and forward locations. The amendment was signed in the fourth quarter of 2006, an EDS spokesman said. The original contract was signed in March 2005.

EDS is undertaking the work as lead contractor in the so-called ATLAS consortium, which also includes Fujitsu, General Dynamics, EADS Defence and Security Systems, and LogicaCMG.

The U.K. government awarded the original contract under its Defense Information Infrastructure (Future) program. Under DII (F), the U.K.'s armed forces will move to a single IT network designed to link all elements of the country's military, from soldiers fighting in foxholes to planners stationed at Whitehall. EDS is building out a similar system for the U.S. Navy and Marine Corp.

Foreign military contracts are becoming an increasingly important source of revenue for traditional IT services vendors as more and more governments around the world outsource the operation and maintenance of the information systems that underlie their defense networks.

Last week, Germany's Federal Armed Forces awarded a ten-year network and infrastructure modernization contract worth $9.3 billion to a consortium established by IBM and Siemens Business Services. Under the program, codenamed Herkules, the contractors will upgrade and standardize more than 140,000 PCs, 7,000 servers, and 15,000 mobile phones for the German FAF.