Tuesday, October 15, 2013

Reuters: Technology News: Allianz in exclusive talks with IBM on IT outsourcing

Posted by Isabella on 8:34 AM

Reuters: Technology News
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Allianz in exclusive talks with IBM on IT outsourcing
Oct 15th 2013, 14:51

A man passes by an illuminated IBM logo at the CeBIT computer fair in Hanover February 27, 2011. REUTERS/Tobias Schwarz

A man passes by an illuminated IBM logo at the CeBIT computer fair in Hanover February 27, 2011.

Credit: Reuters/Tobias Schwarz

FRANKFURT | Tue Oct 15, 2013 10:51am EDT

FRANKFURT (Reuters) - Allianz has entered into exclusive negotiations with IBM to outsource large parts of its in-house information technology services, the German insurer said on Tuesday.

Allianz plans integrate its internal networks and global data centers into what it calls the Allianz Private Cloud by the end of 2017, in a move that will cut the number of data centers to six from 140 currently, the insurer said in a statement.

Allianz declined to give financial details of the deal, but a source close to the company said the insurer planned to invest an amount in the mid hundreds of millions of euros to restructure its IT services.

A German newspaper had reported in late August that Allianz was discussing a 10-year outsourcing contract that was likely to be awarded to IBM or Computer Sciences Corp., saying that CSC was the frontrunner in talks.

(Reporting by Jonathan Gould, editing by Christiaan Hetzner and Noah Barkin)

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