IBM scoops contract with MTN
The companies would not reveal the value of the deal, which is rumoured to be worth an estimated R1 billion.
MTN said yesterday that the decision to outsource the division was, among other things, to improve its own business performance.
The deal was not exclusive and MTN would continue to engage with other service providers when appropriate and to the benefit of its clients.
Tim Lowry, the managing director of MTN, said: "In a number of business areas, MTN South Africa partners with globally recognised best-of-breed service providers like IBM, to gain access to best practice and international core competencies for the benefit of its own business and to enable MTN to provide world-class services to its customers."
The company, which has annual revenue of R25 billion, is still finalising which functions of the division will be outsourced to IBM.
The partnership will be fully operational in May.
Mark Harris, the country general manager of IBM South Africa, said the agreement would enable MTN to tap into IBM's global experience in the implementation of innovative solutions similar to those of global telecoms operators.
"MTN will also leverage IBM's global intellectual property resources, while transforming their IT [information technology] infrastructure to increase business performance and realise business value."
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