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AT&T Wins $1bn Networking Deal From GM

Posted on: Thursday, 22 February 2007, 06:00 CST

AT&T Inc has won a global networking deal with General Motors worth almost $1bn over the next five years.

The deal is one of the biggest commercial contracts AT&T has signed and involves providing network integration management for GM's entire telecommunications infrastructure including voice and data systems and systems support. The agreement also contains a renewal of its contract to supply global VPN services.

Ralph Szygenda, group vice president and chief information officer of General Motors, outlined the benefits he expects from the deal. "It ensures that we have the basic infrastructure in place to give GM employees anywhere in the world the ability to collaborate online in real time on engineering, manufacturing, design. and supply-chain," he said. "It is expected to enable increased productivity and collaboration and to maximize GM's global network."

Earlier this month, AT&T won four telecoms services contracts together with Verizon to provide services to the State of California over the next five years worth a combined total of $350m. The company also beefed up its IT services capabilities last September with the acquisition of privately held USinternetworking for $300m in cash and assumed debt.

Source: Datamonitor

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