Technology giant IBM, which employs more than 4,000 staff in the Republic, said yesterday it had won a seven-year contract to manage networks and computers for Diageo, the maker of Guinness and Smirnoff vodka.
Financial details of the contract were not released but Meta Group analyst Mr Stratos Sarassamlis estimated that the deal was worth $400-$500 million (€367-€459 million). He said it was significant for IBM because the beverage maker usually buys its technology from IBM's major rival, Hewlett-Packard.
"It's a HP shop," he said, adding that IBM also beat computer services provider Computer Sciences Corporation for the deal.
IBM said it would help Diageo tie together a far-flung network of computer systems acquired during five intense years of mergers.
IBM said the services would be provided under its "on demand" model - which allows for flexibility in use of technology, paying for how much technology is needed at any given point in time.
Mr Robin Dargue, chief investment officer at Diageo, said the agreement would help underpin Diageo's drive for consistent and sustainable profit growth by providing a simpler, more efficient and flexible IT infrastructure.
HP and Computer Science Corporation were not available for comment last night.
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