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IBM Australia lands AU$725m DTA deal

IBM Australia has won a five-year AU$725 million (~US$501.4m) whole-of-government agreement with the Digital Transformation Agency (DTA).

The agreement intends will give government agencies increased access to IBM products and services, including hardware, software, cloud services, and professional services.

The deal is the second iteration of an agreement between IBM and DTA. In 2018, IBM was awarded an AU$1 billion contract to be a ‘major technology partner’ for the government. iTnews reported in August 2022 that the 2018 agreement eventually grew to more than AU$2 billion.

DTA CEO Chris Fechner said of the deal: “Through the Commonwealth negotiating as one entity, the contract will continue to give government agencies better value for money and more flexibility when sourcing commonly used IBM products and services with a focus on essential government requirements.”

As part of the latest deal, IBM will work with the Australian government to help the Australian Public Service grow its digital capability by providing access to an IBM Digital Skills Program. Government agencies will also have accessibility to IBM’s sustainability software suite, and can work with IBM to explore the potential for quantum technology in government applications and data protection and encryption.

“Under this arrangement, IBM Australia will continue supporting the Australian government in their work to drive accelerated adoption of innovative technology to modernize government services,” IBM Australia managing director and vice president Nicholas Flood said.

The arrangement was negotiated and signed jointly by the DTA, Australian Taxation Office, Department of Defence, and Department of Home Affairs and Services Australia.

Non-corporate Commonwealth entities must contract under this arrangement when purchasing IBM products and services. The agreement is also available to Corporate Commonwealth entities (CCEs), government-owned businesses, state and territory governments, and higher education institutions established by legislation. Data Center Dynamics

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