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Ericsson Outsources IT Unit to HP
Jun 2003
STOCKHOLM, Sweden, June 4 -- Ericsson today signed a five-year contract to outsource its information technology (IT) infrastructure to Hewlett Packarcd (HP). Ericsson said the agreement will substantially reduce its overall IT costs.

Under the agreement, HP will provide services including data center management, help desk support and desktop services for Ericsson's operations worldwide. The agreement includes transfer of assets and about 1,000 employees globally from Ericsson Global IT Services to HP. The transition will begin in July, pending approval by competition authorities.

"Outsourcing of IT operations is part of Ericsson's ongoing changes within the IS/IT area, and its overall restructuring program aiming at radically reducing the operating expenses and cost of sales," said Per-Arne Sandstrom, deputy CEO at Ericsson.

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