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Under contract with an estimated value of approximately $681 million, Unisys will consolidate seven data centers into a single secure hybrid cloud to deliver on-demand IT services to state agencies more efficiently and at lower cost
BLUE BELL, Pa., July 14, 2014 /PRNewswire/ -- Unisys Corporation (NYSE: UIS) today announced that it has been chosen through a competitive bid process by the Commonwealth of Pennsylvania to host and operate what is expected to be one of the largest secure, cloud-based, on-demand IT computing implementations by a U.S. state government.
Under the competitively awarded contract, Unisys will consolidate seven separate data centers into a secure hybrid cloud that will enable state agencies to access IT services as needed, enabling the Commonwealth to reduce operating costs while enhancing flexibility and service delivery.
When the system is fully implemented, Pennsylvania state agencies will be able to provision computing resources from an extensive catalogue of subscription-based IT services, allowing them to quickly ramp up and down as their service needs change.
The new contract's base value is estimated at approximately $681 million over its initial seven-year term and includes three one-year renewal options.
"By moving to an on-demand computing model for delivering IT services, we are changing the way we have traditionally done business in IT," said Tony Encinias, chief information officer for the Commonwealth of Pennsylvania. "Rather than attempting to predict our technology requirements years ahead of time, this contract will allow us to purchase services when we need them, giving us greater flexibility and efficiency while saving money."
Under the terms of the contract, Unisys will provide the Commonwealth with secure hybrid cloud-based services that include:
Unisys will team with IBM and Deloitte Consulting on the project, as well as other world-class technology providers and Pennsylvania-based small, diverse businesses.
"We're excited by this opportunity to help the Commonwealth of Pennsylvania advance to a new level of innovation and service delivery," said Ron Frankenfield, president, Unisys Enterprise Services. "We look forward to harnessing the power of the cloud to help the Commonwealth reduce costs and provide cost-effective services to the citizens of Pennsylvania."
Unisys is a worldwide information technology company. We provide a portfolio of IT services, software, and technology that solves critical problems for clients. We specialize in helping clients secure their operations, increase the efficiency and utilization of their data centers, enhance support to their end users and constituents, and modernize their enterprise applications. To provide these services and solutions, we bring together offerings and capabilities in outsourcing services, systems integration and consulting services, infrastructure services, maintenance services, and high-end server technology. With approximately 23,000 employees, Unisys serves commercial organizations and government agencies throughout the world. For more information, visit www.unisys.com.
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Any statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. All forward-looking statements rely on assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. In particular, statements in this release regarding the estimated value of the contract are based on assumptions regarding the volume of services to be delivered to the Commonwealth of Pennsylvania. The contract's on-demand computing model allows the Commonwealth to pay only for the services used, and there is no obligation for the Commonwealth to procure any services. The contract value mentioned in the press release is the based on the Commonwealth's estimate of the volume of services to be procured. Because the volume of services is subject to the Commonwealth's discretion and because the contract is terminable by the Commonwealth before the end of its term and subject to the availability of appropriated funds, and because pricing may be subject to adjustment, under certain circumstances, as a result of periodic benchmarking surveys, the estimated values in this release are not guaranteed. Additional discussion of factors that could affect Unisys future results is contained in periodic filings with the Securities and Exchange Commission.
RELEASE NO.: 0714/9266
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