ISI grabs $31m slice of mega Defence deal

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ISI grabs $31m slice of mega Defence deal
Steven Hedge

ISI has confirmed its $31 million slice of the massive $800 million centralised processing contract awarded by the Department of Defence recently.

The IBM Premier Partner is one of eight suppliers to Lockheed Martin Australia as part of the massive eight-year deal, which will see 280 data centres consolidated to 11.

ISI is contracted to handle operational support and management of Defence’s mainframe.

The win means ISI joins other services suppliers who have won significant contracts as part of the Defence deal. The subcontract is valued at $150 million for NEC, which will provide migration and hosting of legacy systems, while Perth based ASG expects its contract to generate 50 jobs and contribute up to $2 million in EBITDA for the financial year.

Despite the advanced age of mainframes as a platform, they are used by Australia’s top 200 companies and continue to provide employment, said ISI CEO Steven Hedge.  

“Other platforms simply don’t have the reliability and security of mainframes, and it’s both expensive and disruptive to write new apps or try to move existing apps on to other systems,” he said.

The work ISI is doing will allow Defence to secure its mainframe for the next eight years "and beyond”, according to a statement.

ISI was established in 1991 and ranks Repco, Shell Oil, Benigo Bank, Reserve Bank, ASIC and NSW Police among its customers. As well as IBM, ISI is also lists Hitachi Data Systems, Actifio, Red Hat among its partners. The company has offices in Sydney, Melbourne and Brisbane.

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