ThyssenKrupp Awards €100 Million in Global IT Services Contracts to HP
GENEVA, Nov. 23, 2005, HP today announced a number of new technology services contracts valued at €100 million with ThyssenKrupp, one of the world’s biggest technology groups.
HP will provide ThyssenKrupp with software and IT services globally for the company’s 184,000 employees across 900 locations in 22 countries.
Within the framework of the agreement, HP will implement and operate a wide area network (WAN), consolidate and manage ThyssenKrupp’s email system and provide consulting services for the company’s enterprise resource planning (ERP) projects. The contracts for the three individual projects will run between three and six years.
Cost savings through IT consolidation and outsourcing
In close corporation with its strategic alliance partner BT, HP will implement and operate a global WAN for ThyssenKrupp across 900 locations in 22 countries replacing the numerous existing local area networks and enable a uniform corporate network.
With this outsourcing agreement, ThyssenKrupp expects to benefit from worldwide consistent services and service-level agreements that the HP and BT alliance offers. Moreover, the alliance will help ensure a smooth migration to a new standardised platform based on BT’s global MPLS network.
ThyssenKrupp is also outsourcing its email system to HP, consolidating the existing disparate systems for more than 50,000 users. Until now, different solutions were in use across some 300 servers. Through the consolidation and standardization, ThyssenKrupp will benefit from a high-availability email platform at lower overall costs. The new email platform includes HP StorageWorks Enterprise Virtual Arrays as storage subsystems as well as HP ProLiant servers under Microsoft® Exchange 2003.
Shared services model for ERP offers greater visibility and consistency
ThyssenKrupp also plans a group-wide harmonization of its enterprise resource planning. HP is one of the service providers selected to implement services globally. The ERP consists of processes in material management, production and controlling and in the area of distribution.
“These projects will allow ThyssenKrupp to benefit from the comprehensive services and technologies HP will deliver to us,” said Dr. A. Stefan Kirsten, executive board member, ThyssenKrupp AG. “When we were looking for a partner for these projects, HP demonstrated that, in competition with other vendors, they would best be able to meet our needs and we expect this strategic partnership to deliver some significant results.”
“These wins are another big step for HP in its relationship with ThyssenKrupp as a leading global IT service provider,” said Uli Holdenried, chief executive officer, Hewlett-Packard GmbH. “The contract validates our strengths as a technology leader and reinforces a long and mutually beneficial partnership moving forward.”
With sales of €39 billion and 184,000 employees in over 70 countries, ThyssenKrupp is one of the world’s major technology groups and occupies excellent positions on the international markets. The three main business areas of steel, capital goods and services, organized in six segments - Steel, Stainless, Automotive, Technologies, Elevator and Services - mark out the group’s areas of competence.
HP is a technology solutions provider to consumers, businesses and institutions globally. The company’s offerings span IT infrastructure, global services, business and home computing, and imaging and printing. For the four fiscal quarters ended Oct. 31, 2005, HP revenue totaled $86.7 billion. More information about HP (NYSE, Nasdaq: HPQ) is available at http://www.hp.com.
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This news release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that, if they ever materialize or prove incorrect, could cause the results of HP and its consolidated subsidiaries to differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including the expected development, performance or rankings of products or services; statements of expectation or belief; and any statement of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the development, performance and market acceptance of products and services and other risks that are described from time to time in HP’s Securities and Exchange Commission reports, including but not limited to HP’s Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2005, and other reports filed after HP’s Annual Report on Form 10-K for the fiscal year ended Oct. 31, 2004. HP assumes no obligation and does not intend to update these forward-looking statements.
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