Vodafone May Extend IBM Contract To Cover Idea Too 

Vodafone has begun an exercise to extend its outsourcing contract with IBM to cover Idea Cellular as well, besides kicking off work to streamline and standardise all its own IT processes ahead of the proposed $23-billion merger between the phone companies.

Sanchit Vir Gogia, Chief Analyst, Founder & CEO of Greyhound, said, “There is an increased uptake of cloud and opex (operating expenditure). 

This along with the fact that the merger is happening is bound to have an impact on the deal size.” 

According to Greyhound analysis, IBM’s erstwhile large and long-term outsourcing deals are quickly getting broken into multiple smaller–and shorter-term–managed services deals with components of cloud delivery. 

“We have also observed IBM’s increasing unwillingness to participate in outcome-based deals,” Gogia said. 

[Source]

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Analyst:

Sanchit Vir Gogia: Sanchit is the Chief Analyst, Founder & CEO of Greyhound Knowledge Group, a Global Strategy & Transformation Research, Advisory & Consulting Firm. To read more about him, click here.


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