GM Extends $2 Billion Contract with HP

American manufacturer GM announced today the extension of the agreement it has with IT solutions provider Hewlett Packard (HP) with an additional $2 billion to be provided to HP for its services. HP will take care of several of GM's need, including applications development and remote network management for data, network security and videoconferencing services.

"GM's innovative business and in-vehicle technology strategy requires collaborative, cost-effective approaches so we can provide even better service to our customers as we design, build and sell the world's best cars and trucks," Terry Kline, GM chief information officer said in a release.

"HP has been one of our most long-term, reliable partners with a team that has the expertise and creativity to help us quickly and successfully complete new phases of our business strategy."

HP will have to offer its services for tens of thousands of PCs and laptops. Aside from the services mentioned above, the IT solutions provider will also create a roadmap to support GM's multi-supplier environment, provide solutions for GM's financial transactions and supply chain and service the carmaker's hardware in 50 countries.

"The automotive industry is in the midst of a transformation and GM's technology infrastructure needs to be hitting on all cylinders to take full advantage of the potential market opportunities,"
Tom Iannotti, HP Enterprise Services general manager added.

"HP has a track record of outstanding service to GM that we will continue to deliver to help GM realize their business objectives."

The new contract signed with HP comes after the company which handled these tasks, Electronic Data Services, was purchased by HP for $13.9 billion in 2008.
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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