Telstra and IBM in multi-million-server deal

Telstra Corp. Ltd. expects significant savings from a four-year US$55.8 million

deal with IBM Corp. for the sale and leaseback of computer servers.

The national carrier said the deal covers 6,500 file and print and mid-range application servers, but does not include any help-desk or maintenance facilities.

Telstra Director of Finance, John Stanhope said, “This deal will deliver smarter asset management and cost center tracking by our line management and more flexibility to upgrade technology as the business requires.”

Stanhope said the deal builds on the benefits delivered from the A$96 million sale and leaseback of Telstra’s personal computer fleet in 1998.

The assets purchased in the new deal with IBM Global Financing vary in age, with some on a minimal lease term of 12 months.

The telco said the agreement would also cover leasing on all future non-communications file and print and mid-range server requirements.

The technology involved includes installed Wintel (Windows/Intel) technology, NT-based file and print servers, and Intel and Unix based application servers from sites across Australia.