IBM has been indefinitely barred from entering into new contracts with the US federal government.
Unwieldy IT procurement has led to widespread duplication, according to the new finance minister, Lindsay Tanner. However questions remain over whether greater centralisation will lead to actual savings on the AU$6 billion the government spends on IT each year.
In front of an audience of 170 staff from 67 IT vendors, Australian Tax Office CIO, Bill Gibson, today outlined the department's demands for its AU$385 million managed network services contract.
update: Insurer Allianz Australia has re-signed CSC to manage its desktop services in an AU$8 million deal over three years.
Western Australia's Water Corporation utility has signed a long-term, up to AU$190 million IT services contract with outsourcer CSC.
A lack of available Siebel skills on the part of its prime contractor IBM has prompted the Immigration Department to hand AU$6.7 million of work to rival vendor CSC.
The Northern Territory has never re-awarded a contract for the supply of critical IT solutions and services for all its departments and agencies to an incumbent supplier.
The Australian Customs Service says outsourcing most of its IT functions to one vendor was successful, but resulted in lack of innovation and internal expertise.
Initiatives designed to teach small local IT providers how to engage with the South Australian government have been described as nothing more than pre-election sweeteners.
A necessary evil or one that must be stopped--the debate over offshore outsourcing is hotting up and a conclusion could be near, but what is the right answer?
Michael Young, the chief technology officer of Hutchison, doesn't believe outsourcing is a good move for companies. So when the telco considered outsourcing its network, he went about things a little differently to usual.
Telstra is to pay IBM AU$130 million for the ability to slash costs across its information technology operation for the remaining period of its outsourcing deal with the tech heavyweight, Big Blue officials confirmed today.
The computer services industry in Australia faces uncertain times, with the further transfer of labour-intensive activities to "highly skilled cheaper labour countries" and government reaction to "cost or service promises not being met" potentially undermining growth, an analyst claims.
DaimlerChrysler Australia has outsourced the management of its core business IT infrastructure to Hewlett Packard's Australian operations.
The political mud-slinging over a bungled AU$350 million federal Health Group IT outsourcing tender is set to continue.
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