HP bags $1.4-bn outsourcing contract from Germany’s E.ON

15 Dec 2010

Hewlett-Packard (HP), the world's largest computer company has bagged a $1.4 billion technology infrastructure outsourcing contract from Germany's E.ON, the world's largest power and gas company by sales.

The contract was signed yesterday between HP's German unit and E.ON's IT GmbH, the IT and telecommunications subsidiary of E.ON.

HP already has a relationship with E.ON by being its technology equipment supplier as well as provides support services and managed print services.

Under the terms of the agreement, HP will directly manage the data centre services and workplace services for more than 80,000 E.ON employees. HP also will act as operational integrator, collaborating closely with E.ON's other key IT suppliers.

As a result, more than 1,100 employees will transfer to HP in April 2011, said HP.

The order, which is one the first major European utilities to outsource its technology infrastructure across the Atlantic, is expected to strengthen E.ON's competitiveness and create a more flexible technology environment.