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heise online (Germany): Shell outsources large parts of its IT infrastructure

03.01.2008 13:25

The Dutch-British energy group Shell will be outsourcing large parts of its IT infrastructure. The enterprise confirmed today, Wednesday, that negotiations are ongoing with the German firm T-Systems and two US candidates, EDS and AT&T. The obvious plan is to split the order into three parts. While T-Systems (a Deutsche Telekom subsidiary) is in the race for the storage and computing centres, EDS could get the contract for customer care and AT&T could be awarded the network operations.

“The planned outsourcing is part of a package that we devised two years ago”, said a Shell spokesman. The group wants to reduce its spending by 500 million US dollars annually. Around 3,000 employees are to be affected by these cost-cutting measures: they are to be taken over by the outsourcing firms. Shell does not wish to disclose further details until contracts are signed. A definitive decision is scheduled by the end of March.

According to information on a Web site critical of the group, the affected staff members will soon be told whether they will be staying with Shell. Despite the record prices for crude oil, Shell – like other large oil producers – has had in the end to accept lower profits in some domains, even in its crude oil business. But, taking account of inventories and one-off bookings, Shell’s balance sheet for the third quarter (PDF file) shows profit up 16 per cent to 6.92 billion US dollars. (jk/c’t) and its also non-profit sister websites,,,,, and are all owned by John Donovan. There is also a Wikipedia article.

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