Spanish electrical company Endesa has signed IBM to manage all the infrastructure and IT systems that the utility uses in Spain and Latin America. The seven-year E360m agreement is expected to cut 20% costs for Endesa.
The agreement expands the previous seven-year transaction closed in 2003 for IBM to manage Endesa’s IT infrastructure in Spain.
Endesa claims to be the first utility in Spain, with a strong position on the Latin American markets and in Mediterranean Europe. It hopes to benefit from the IBM services by implementing a unified global IT model for all the countries, reducing costs and intensifying its investments in core IT initiatives.
The agreement covers the implementation of a global unified IT model where users will have access to services provided both locally and from globally specialised centres. IBM will also manage Endesa’s central IT platform along with all the IT resources that 30,000 Endesa’s staff use for their daily operations.
In addition, IBM will provide back up and recovery services in case of emergency to avoid data loss or business interruption. IBM will also manage the control systems for the operations of Endesa’s energy generation, distribution and market network.
The agreement with IBM is expected to create an IT platform to immediately support Endesa’s worldwide growth strategy; reduce the energy consumption of its IT platform in Latin America by around 50%; and increase its security levels.
