IBM bags Airtel’s DTH,IPTV biz deal

NEW DELHI: IBM has bagged the contract for providing software and IT requirements for Bharti Airtel’ non-mobile businesses which include Direct to Home (DTH), Internet Protocol TV (IPTV), enterprise services and broadband. The deal is valued at about Rs 600 crore and is spread over six years.

The deal size will, however, be much higher since it also has a revenue share component. This is IBM’s third major contract with Bharti – it had first bagged a 10-year contract for the telcos’s IT requirements for its mobile business valued at $750 million (which was later scaled up to $1 billion) followed by a $100 million contract last year for developing an service delivery platform for Airtel. “It’s a landmark deal because, so far, IBM was looking at us as a mobile company.

Through its partnership, IBM will implement IT systems that will enable us to launch differentiated services in thrust areas such as DTH and IPTV amongst others. This will also help in leveraging the current channels of Bharti Airtel to deliver new services. For all the new businesses, IBM will provide us with business support system, operation support systems and enterprise resource planning, “ said Bharti Airtel director-IT & Innovation Jai Menon

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