IBM and Nippon Telegraph and Telephone (NTT) are expected to announce a 10-year computer services outsourcing agreement worth up to $15 billion, according to a report published in the Wall Street Journal on Tuesday.
The report puts the total value of IBM's outsourcing deals in Japan this year at about $4.5 billion, excluding the deal with NTT.
The other outsourcing deals include a 10-year, $660 million agreement with Tokyo-based Sumitomo (SMMLY) Metal Industries, a six-year, $370 million agreement with Japan Consumer Credit Services, one of the Japan's largest consumer credit companies, and a $1 billion, 10-year agreement with Mitsui Mutual Life Insurance (dossier).
As part of the IBM-NTT agreement, IBM would provide outsourcing services to the NTT group through its NTT Communicationware unit. IBM will also be able to use NTT Comware staff in outsourcing and computer-services contracts with other customers in Japan, according to the Wall Street Journal report.
Laura Rohde writes for the IDG News Service.
