Hewlett-Packard announced Wednesday that it has signed a five-year, US$500 million IT services contract with German financial services provider WestLB. "This is a good win for us in that it has a global component to it," said Joe Hogan, vice president of worldwide marketing, strategy and alliances for HP Managed Services. "We're going to manage the global IT infrastructure worldwide and provide some application services to them, which we're currently defining back and forth with them right now."
Under the deal, which goes into effect on Jan. 1, HP will provide application and infrastructure services and will manage WestLB's desktop environment worldwide -- including mail systems, workplace technology and telephony, Hogan said.
HP said it will manage and operate the company's networks, and develop and support WestLB's Web site and intranet. In addition, HP will provide customer support and project services for the financial services provider.
"The transfer of our IT functions represents a further milestone in WestLB's strategy of concentrating on its core functions going forward," Klaus-Michael Geiger, a member of WestLB's managing board, said in the statement. "HP offered us a convincing customized service package that will provide flexible and cost-efficient solutions. In addition, it is supported by a cogent strategy for the employees of WestLB Systems."
HP said it plans to support WestLB's IT environment with its "adaptive enterprise" strategy, which is designed to help companies synchronize business and IT to capitalize on change.
As part of the deal, approximately 450 bank employees will transfer to HP.
"This (deal) does a couple of things for us," Hogan said. "It continues to expand our foundation within the financial services vertical and complements very nicely the work we're doing with the Bank of India, TD Dominion Bank in Canada, and the Bank of Ireland, CIBC and the Development Bank of China. So we're really getting a very good foundation and a very good focus for outsourcing services globally to the financial sector."