News
News
3/27/2003
03:49 PM
Connect Directly
RSS
E-Mail
50%
50%

Motorola Signs $1.6B, 10-Year Outsourcing Deal

The company is doffing a chunk of its IT infrastructure. The move is part of an effort to trim 3,000 jobs by July.

Motorola is farming out much of its information infrastructure to Computer Sciences Corp. in a deal valued at $1.6 billion. The 10-year contract, announced Thursday, includes the transfer of 1,300 Motorola workers to CSC.

Beginning May 1, CSC will begin running desktop and midrange technology, including global help-desk and network operations. It also will acquire some of Motorola's physical IT infrastructure and network assets.

The second-largest maker of wireless phones says the agreement will help it improve efficiency and service. Of the employees transferred, more than half are based in the United States, with most of the rest in Europe, the Middle East, and Africa. Motorola, which has 95,000 employees, is cutting its workforce to 93,000 by July.

The deal is a coup for CSC. Service firms have been hit hard by the economic slowdown. It's the first big services deal CSC has signed in nearly a year.

Comment  | 
Print  | 
More Insights
The Business of Going Digital
The Business of Going Digital
Digital business isn't about changing code; it's about changing what legacy sales, distribution, customer service, and product groups do in the new digital age. It's about bringing big data analytics, mobile, social, marketing automation, cloud computing, and the app economy together to launch new products and services. We're seeing new titles in this digital revolution, new responsibilities, new business models, and major shifts in technology spending.
Register for InformationWeek Newsletters
White Papers
Current Issue
InformationWeek - July 21, 2014
Our new survey shows fed agencies focusing more on security, as they should, but they're still behind the times with cloud and overall innovation.
Flash Poll
Video
Slideshows
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
In this special, sponsored radio episode we’ll look at some terms around converged infrastructures and talk about how they’ve been applied in the past. Then we’ll turn to the present to see what’s changing.
Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.