Feeds

Japanese bank sues IBM over 'difficult' system overhaul

11.1bn yen ought to make things easier

Secure remote control for conventional and virtual desktops

A Japanese bank is suing IBM for $107m over a systems contract it abandoned because Big Blue's proposal was too difficult to carry out.

Suruga Bank, based in the Shizuoka Prefecture, filed the lawsuit in Tokyo District Court, seeking 11.1bn yen.

Suruga first announced it would replace most of its systems with IBM's "Next Evolution in Financial Services Systems" (NEFSS) in Oct. 2004. The IBM package included a Java-based banking application from Fidelity Information Services and various flavors of IBM database software that can run on mainframes, Unix systems and x86-based boxes.

At the time, IBM heralded the deal as the first NEFSS adoption in Japan, predicting full-scale operations ready for Suruga in the second half of 2007.

But when IBM gave its proposal, the bank turned up its nose at the changes.

"We are suing because we decided it would be difficult to implement the system they suggested," a spokesman for Suruga told Reuters.

Suruga now wants 11.1bn yen from IBM Japan based on fees paid and revenues lost from being unable to implement the new system.

"IBM has fulfilled its obligations to Suruga Bank and will vigorously defend itself in this matter," IBM said in a statement. As of publication, Big Blue was not available to specify what exactly made the deal go pear-shaped. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ellison: Sparc M7 is Oracle's most important silicon EVER
'Acceleration engines' key to performance, security, Larry says
Oracle SHELLSHOCKER - data titan lists unpatchables
Database kingpin lists 32 products that can't be patched (yet) as GNU fixes second vuln
Ello? ello? ello?: Facebook challenger in DDoS KNOCKOUT
Gets back up again after half an hour though
Hey, what's a STORAGE company doing working on Internet-of-Cars?
Boo - it's not a terabyte car, it's just predictive maintenance and that
Troll hunter Rackspace turns Rotatable's bizarro patent to stone
News of the Weird: Screen-rotating technology declared unpatentable
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.