Ericsson-HP deal coming to NZ

Ericsson New Zealand is to be part of a global outsourcing deal between its Swedish parent and Hewlett-Packard.

Ericsson New Zealand is to be part of a global outsourcing deal between its Swedish parent and Hewlett-Packard.

The beleaguered network provider and handset manufacturer signed a memorandum of understanding with HP earlier this month to outsource its IT infrastructure.

Under the deal, some Ericsson IT staff are to be transferred to HP.

Ericsson NZ spokeswoman Alison Crosbie says New Zealand will become part of that arrangement at the end of the year, when its present outsourcing contract with EDS expires.

“We then anticipate transferring the outsourcing activities to the global outsourcer,that is, HP, so there is really no impact on our current contract with EDS.”

The global Ericsson-HP deal is to be signed off before the end of June, according to a statement from Ericsson, which goes on to say that “by outsourcing its IT operations Ericsson expects to substantially reduce the overall IT cost and achieve greater flexibility in adjusting resources and expertise to meet fluctuations in its business and in the industry”.

The development, implementation and management of applications will remain with Ericsson.

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