DTA establishes next iteration of IBM whole-of-government arrangement

9 January 2023

The Digital Transformation Agency (DTA) has reached an agreement with IBM that will continue to make it easier and more cost effective for government agencies to access IBM products and services. This follows the first iteration of the IBM arrangement from 2018.

The IBM arrangement, valued at $725 million over 5 years, has greater flexibility for agencies to transfer assets and enable reuse opportunities across government, and streamlines contracting to reduce the time, effort and resources required throughout the procurement process.

DTA CEO Chris Fechner said, “This arrangement is the right fit for the current context and requirements for its participating agencies. It offers important continuity for the business systems that support critical government services which Australians rely on.

“Through the Commonwealth negotiating as one entity, the contract will continue to give government agencies better value for money and more flexibility when sourcing commonly used IBM products and services with a focus on essential government requirements.”

The arrangement delivers key investment for government, including training and certifications to uplift digital capability across government. The DTA and IBM are also discussing opportunities to explore emerging technologies like quantum computing and artificial intelligence.

“Under this arrangement, IBM Australia will continue supporting the Australian Government in their work to drive accelerated adoption of innovative technology to modernise government services. We will continue to work with government agencies to explore how emerging technologies could help transform service delivery to create a more secure, sustainable, innovative and skilled Australia,” said Nicholas Flood, Managing Director IBM Australia & Vice President IBM Technology.

The arrangement was negotiated and signed jointly by the DTA, Australian Taxation Office, Department of Defence, Department of Home Affairs and Services Australia. The DTA has coordinated across government to deliver an arrangement that is streamlined and offers the best possible value for taxpayer money.

The new arrangement with IBM Australia is a strong outcome for both the Commonwealth and a strategic partner that supports critical government services, including the response to the recent pandemic and disaster events.

IBM products and services that will be accessible through the new arrangement include its offerings for hardware, software, cloud services and professional services.

For more information, please visit: www.buyict.gov.au

IBM signing

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