C&W Australia Outsources App Dev To IBM



Cable & Wireless Optus Ltd., the second-largest telecom provider in Australia, yesterday handed over its application development and maintenance services to IBM Global Services. The five-year pact, worth an estimated (U.S.) $460 million, includes the development and implementation of a customer billing system. Cable & Wireless will retain responsibility for IT architecture, planning, and quality control.

The deal comes one year after IBM Australia landed a 10-year, $2.9 billion IT outsourcing deal with Australia's largest telecom carrier Telstr. In September, IBM won a 10-year, $3 billion outsourcing contract from another part of the Cable & Wireless global organization, Cable & Wireless Communications in the United Kingdom.

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