The partnership builds on over three decades of collaboration between the two companies

Vodafone and IBM are launching a new venture aimed at helping companies across Europe deliver digital innovation in a faster and more efficient manner.  

The strategic commercial agreement will allow customers to access the technologies they need in order to fully integrate multiple clouds and prepare for a new generation of networks, powered by AI, 5G and Software Defined Networking solutions.

“Vodafone has successfully established its cloud business to help our customers succeed in a digital world,” said Vodafone CEO Nick Read.

“This strategic venture with IBM allows us to focus on our strengths in fixed and mobile technologies, whilst leveraging IBM’s expertise in multicloud, AI and services. Through this new venture we’ll accelerate our growth and deepen engagement with our customers while driving radical simplification and efficiency in our business.” 

The eight-year agreement between the two firms is reportedly worth $550 million and will see IBM provide managed services to Vodafone’s business cloud and hosting unit. Customers will be able to avail themselves of IBM’s optimisation, automation and cognitive capabilities.

“IBM has built industry-leading hybrid cloud, AI and security capabilities underpinned by deep industry expertise,” said IBM chairman, president and CEO Ginni Rometty.

“Together, IBM and Vodafone will use the power of the hybrid cloud to securely integrate critical business applications, driving business innovation – from agriculture to next-generation retail.”

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