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Post Office Chooses Fujitsu for £500m Broadband Deal

Fujitsu will be replacing BT and Logica as the supplier of the Post Office's home phone and broadband services.

The deal, which analyst firm TechMarketView values at up to £500 million, will see the Japanese company delivering next generation broadband technology to Post Office customers.

The contract also includes Fujitsu's call centre department Capita, billing systems company MDS and telecom provider TalkTalk.

Under the agreement, Fujitsu will serve as the "overall integrator", MDS will handle customer service and TalkTalk will provide physical infrastructure for a reporter £100 million of the contract.

"We hope to enable them to allow the Post Office to make more money by growing its subscriber base and therefore revenue", Fujitsu's UK and Ireland CEO Duncan Tait told Computing of the partnership's broader strategy.

As for Fujitsu's own goals, Tait described the importance of upping the company's networking technology arm. "[The deal] allows us to compete where telcos and IT services companies have struggled", he said.

The Post Office signed a £750 million, four-year deal with BT Wholesale for broadband services, but the two companies could not reach an agreement when it came time to renew the partnership.

Source : Computing