EDS, Connecticut Nix $1.5 Billion Contract - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

EDS, Connecticut Nix $1.5 Billion Contract

After six months of negotiations, EDS and the state of Connecticut have called it quits on a proposed billion- dollar outsourcing agreement. Had the deal been inked, it could have been worth $1.5 billion over seven years, and was originally estimated to save the state at least $700 million.

The collapsed negotiations come shortly after the price tag for the contract was upped from $1 billion. In addition, state officials last week delayed the signing of the agreement, requesting the contract be amended with an "employee choice option" that would give the state's 600- plus IT workers the choice to remain unionized state employees rather than forcing all workers to move to EDS's payroll. In addition, state comptroller Nancy Wyman had issued a statement indicating the state wasn't satisfied with the end results of previous projects privatized through EDS.

Connecticut has been looking to outsource centralized management of its computer operations, including integrated ERP and a statewide network for data access, for several years. Connecticut officials say they'll take a different approach to improving the state's IT operations, possibly a series of smaller contracts with EDS and other companies.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
2020 State of DevOps Report
2020 State of DevOps Report
Download this report today to learn more about the key tools and technologies being utilized, and how organizations deal with the cultural and process changes that DevOps brings. The report also examines the barriers organizations face, as well as the rewards from DevOps including faster application delivery, higher quality products, and quicker recovery from errors in production.
News
How to Create a Successful AI Program
Jessica Davis, Senior Editor, Enterprise Apps,  10/14/2020
News
Think Like a Chief Innovation Officer and Get Work Done
Joao-Pierre S. Ruth, Senior Writer,  10/13/2020
Slideshows
10 Trends Accelerating Edge Computing
Cynthia Harvey, Freelance Journalist, InformationWeek,  10/8/2020
Register for InformationWeek Newsletters
Video
Current Issue
[Special Report] Edge Computing: An IT Platform for the New Enterprise
Edge computing is poised to make a major splash within the next generation of corporate IT architectures. Here's what you need to know!
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll