Deutsche Telekom bags 160 million euros contract from British American Tobacco

Telecom Lead Europe: Deutsche Telekom’s IT subsidiary
T-Systems has won a 160 million Euros contract from British American Tobacco.

The seven-year contract enables British American Tobacco
to buy much of its IT dynamically to increase flexibility at work and to reduce

British American Tobacco uses SAP systems to operate its
businesses and is making a significant investment in a consolidation program
that will culminate in a single instance of SAP operating in 65 global markets
by 2016.

“British American Tobacco is the world’s most
international tobacco group. It is successfully pursuing a consistent strategy
that is building shareholder value. Our IT strategy focuses on a single
portfolio of connected applications running on standardised contemporary
technology to drive competitive advantage across the business. This agreement
with T-Systems will help us to deliver that strategy,” said Phil Colman,
British American Tobacco’s CIO.

T-Systems will consolidate ten international British
American Tobacco data centers into three global data centres in Europe, Asia
and South America.

Over a two-year period, British American Tobacco and
T-Systems will transition the business software into the cloud. British
American Tobacco has 45 cigarette factories around the globe and employs over
60,000 people.

“This mega-deal proves again that our customers
acknowledge our know-how in transitioning their traditional IT into the cloud
and operating it in a safe environment. And I am proud to say that we have
developed our cloud skills long before dynamic services became the hype of our
industry,” said Reinhard Clemens, member of the Deutsche Telekom Board of
Management and CEO of T-Systems.

Deutsche Telekom has over 129 million mobile customers,
34 million fixed-network lines and approximately 17 million broadband lines as
of December 31, 2011. The Group generated revenues of EUR 58.7 billion in the
2011 financial year.

T-Systems generated revenue of around EUR 9.2 billion in
the 2011 financial year.

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