IBM said Wednesday that it has sewn up outsourcing deals with two Danish companies valued at more than US$1 billion over 10 years, reinforcing its strength in Europe.
Shipping container giant A.P Moller - Maersk AS signed a 5-year contract for application development and IT infrastructure and management services, while Danske Bank AS entered a 10-year contract for the management of its worldwide IT infrastructure, IBM said.
Together the deals are worth over US$1 billion, although IBM declined to say how much each company agreed to pay.
At the same time, Big Blue said that it completed the acquisition of two IT services firms related to the Danish companies, Maersk Data and DMData. Maersk Data was the computer services arm of Moller-Maersk and has a strong presence in Nordic countries, as well as operations in the U.S. and Asia. IBM said that it will use Maersk's capabilities to help manage A.P. Moller - Maersk's extensive shipping operations.
DMData was established in the merger seven years ago of IT operations of AP Moller-Maersk and Danske Bank and brings with it clients in the transportation, public sector, financial services and retail sectors, IBM said.
Through the acquisitions IBM hopes to build out its business consulting and IT skills in areas such as transport and logistics, and deepen its operations in Europe, it said.