ArcelorMittal Extends EDS Contract in Germany
01/16/2008 - ArcelorMittal extends its contract with EDS through the end of 2011 for infrastructure and application services at the company’s Bremen and Eisenhuttenstadt facilities in Germany.
ArcelorMittal has extended its contract with EDS through the end of 2011. The agreement, worth approximately US$75 million, is specific to infrastructure and application services at the company’s Bremen and Eisenhuttenstadt sites.
EDS is working to simplify and standardize ArcelorMittal's IT application environment in those facilities, with a goal to completely remove it from the mainframe by the end of 2010.
"We want to return to our core business, the manufacture of steel," said Rudolph Egbert, ArcelorMittal Bremen's CIO, explaining the company's decision to extend the contract with EDS. "IT is not our core business. It has to work and meet our needs."
ArcelorMittal's goal with this new IT strategy is to reduce operating costs at its Bremen and Eisenhuttenstadt sites in order to continue to match the market's standard costs per tonne of steel. The steel manufacturer will work with EDS to reduce IT expenditures through cuts in expenses and a reorganization of its existing structure.
EDS, a leading global technology services company, was an early pioneer of the information technology outsourcing industry some 45 years ago. Today, EDS delivers a broad portfolio of information technology and business process outsourcing services to clients in a wide range of industries and governments around the world. EDS has more than 30 years of experience working with manufacturers, and more than 25,000 EDS employees serving over 220 manufacturing clients in 40 countries.