IBM joins govt’s Infrastructure as a Service panel

Internal affairs minister Chris Tremain says IaaS deal will save up to $250m over the next ten years

The Department of Internal Affairs has confirmed IBM as the third member of the government’s Infrastructure as a Service supplier panel.

IBM joins Datacom and Revera Ltd who were awarded contracts in October 2011.

Government agencies wishing to use the IaaS model for accessing ICT services now have a choice of three pre-approved suppliers, rather than having to go through a competitive tendering exercise.

The DIA confirmed at the time of the other two suppliers’ appointment that IBM was still in the running. The delay led to suspicion that it was taking longer to tie IBM down to a deal government would accept.

“This is simply a reflection of IBM’s governance structure and accountabilities,” Brent Chalmers, then general manager of the government ICT supply management office (Gismo) at the department, said at the time. “This is not atypical for multinational corporations.”

Asked again today why the decision to appoint IBM to the panel took more than six months longer than that for the local suppliers, spokespeople for DIA plead “commercial sensitivity” and declined to comment.

By allowing government agencies to purchase access to ICT infrastructure as and when needed, rather than lay out large capital expenditure on ICT equipment in advance to cater for future growth, the IaaS deal “will save taxpayers up to $250 million over the next ten years,” says Internal Affairs Minister Chris Tremain.

“The launch of the Infrastructure as a Service panel is an important part of the Government’s aim to reduce the cost of ICT and improve public customer services,” Tremain adds.