Dell, IBM Announce $6 Billion IT Agreement

Dell Computer Corporation and IBM announced an agreement that will make IBM Global Services a strategic provider of computer-related services to Dell customers. The agreement could be worth $6 billion over seven years. Additional terms were not disclosed.

The arrangement pairs the complementary capabilities of the world’s leading direct computer-systems company with the largest provider of information-technology services. This strategic agreement formalizes and expands the scope of a pre-existing services relationship between the two companies. It also builds on the $16-billion strategic technology agreement announced by IBM and Dell last March. Believed to be the largest of its kind in the IT industry, the technology contract gives Dell broad access to components based on IBM’s leading technology.

Early next year, Dell will start offering its U.S. corporate, government and education customers a range of installation and onsite warranty services from IBM Global Services for Dell’s desktops, notebooks, workstations, network servers and data-storage products. The intent is to extend the services to other international markets beginning next year.