The mobile operator transferred IT to outsourcing to IBM for $280 million

One of the largest telecom operators of Saudi Arabia of Saudi telco Etihad Etisalat (Mobily brand) gives on outsourcing to IBM the IT systems. The company considers that project implementation will make its activity more flexible and also will allow to improve products.

IBM, according to information of Reuters, will be responsible for management of business applications, to ensure safety and the continuity of business processes. The contract is signed for 5 years. Transaction amount will be $280 million.

Task of IBM within the project to increase computing powers of Mobily by means of the innovative solutions. IBM is one more task to construct qualitative scalable IT infrastructure which would help to accelerate operating activities of Mobily.

IBM’s Spoken Web will become one of the solutions delivered to IBM Research. The basic principle of the solution is use of network of mobile data transmission for broadcast of a voice in the Internet.

As of August, 2012 the market value of Saudi telco Etihad Etisalat is $12.3 billion. In the 2nd quarter 2012 the profit of the operator grew by 22% and exceeded $370 million. At the end of 2011 the company showed profit at the level of $1.35 billion.

According to the head of parent company of Etisalat operator, the holding thinks of increase in the share in Mobily from the existing 28%, says Reuters. The company focuses the attention on high growth rates which are supported with the high level of number of Saudi Arabia.

For the IBM contract with the Middle Eastern operator became not the first. Earlier in 2012 the American corporation announced the conclusion of the similar agreement with the Ukrsotsbank working since 2011 under the UniCredit Bank trademark. The parties signed the agreement according to which service of information systems of bank turns into maintaining IBM.

The cost of the contract signed in December, 2011 for a period of 10 years was $200 million IBM will be responsible for development and support of applications and information systems of Ukrsotsbank and also for management of IT infrastructure of bank, it was said in the statement of the parties.