Vodafone secures new IT outsourcing deal
The mobile phone operator Vodafone Group has announced an IT outsourcing deal with IBM as it seeks to cut costs and manage its fast-growing business.
Under the new five-year arrangement, the Essar arm of the telecommunications group will outsource all its IT operations to India, where the specialists will also deal with key applications including billing and financial systems.
This latest deal comes as telecoms operators across India look to share their infrastructure as they aim to keep operating costs down as competition in the market increases.
In addition, the company has also reached network-sharing agreements in the UK, Italy and Spain as it takes advantage of the financial benefits of outsourcing specialist areas of operations.
"This agreement further demonstrates our continued focus on scalability and cost control - key criteria for success in the Indian mobile market," said Asim Gosh, managing director of Vodafone Essar.
"We are confident this will deliver cost efficiency as well as an enhanced service to our customers."
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