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EDS signs MoD contract

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EDS has signed the contract to overhaul technology for the UK's Ministry of Defence, after being named as preferred bidder earlier this month.

The contract is for Increment 1 of the DII(F) project which will run for ten years at a cost of £2.3bn ($4bn). More work is possible once the first increment is completed.

EDS will lead the ATLAS consortium, which also includes Fujitsu Services, General Dynamics, EADS Defence and Security Systems and LogicaCMG.

The DII(F) project aims to bring various different networks onto one infrastructure. This network "will provide seamless interaction between headquarters, battlefield support and the front line", according to a breathlessly optimistic press release. It will link about 340,000 users in 2,000 locations using 150,000 desktop machines.

The project will also help the MoD achieve efficiencies demanded by the Defence Change Programme.

EDS has had little luck with military contracts recently. A deal to sort out an intranet for the US Navy was valued at $8bn but has already cost EDS $500m in written off assets.

EDS press release available here.®

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