Siemens lands $3.6 billion BBC outsourcing contract

The British Broadcasting Corp. yesterday awarded Siemens Business Services a 10-year, $3.6 billion contract to outsource its BBC Technology division.

The BBC said in a statement that it chose Siemens Business Services because of its commitment to invest in technology services and innovation, all with "significant projected annual cost savings." The company had stated in the past that it expected the outsourcing deal to save it $40 million to $50 million a year.

The BBC is primarily looking for help consolidating networks and servers. The company has some 800 servers in the U.K. alone, for example. It is looking to eliminate custom and proprietary implementations as well, executives said earlier this year.

The Siemens deal still has to be approved by the BBC governors and the European Commission.

BBC Technology, founded in March 2001, is made up of 1,400 employees worldwide and provides content and a variety of services for the BBC and other global media outlets.

This story, "Siemens lands $3.6 billion BBC outsourcing contract" was originally published by Network World.

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