UPDATED 09:30 EDT / JANUARY 17 2019

CLOUD

IBM and Vodafone create joint venture to boost multicloud connectivity

IBM Corp. is teaming up with Vodafone Ltd.’s Vodafone Business subsidiary on a new joint venture.

The new company, announced today, will help joint customers that rely on IBM’s multicloud capabilities by enabling faster connectivity with Vodafone’s 5G, software-defined networking and edge technologies.

The improved connectivity they will deliver is important because it will enable faster decision-making, enhanced automation and personalized experiences for users, no matter where they’re located, the companies said. For instance, the companies said, in the past innovating on an oil rig would have been a challenge thanks to lack of connectivity and disparate information technology systems.

IBM and Vodafone say their combined expertise is necessary because 70 percent of organizations today use up to 15 different cloud environments to support their information technology operations. Connecting all of these cloud services can be challenging, but IBM and Vodafone said their new joint venture will work to remove the complexity of doing so in order to ensure that data and applications flow freely and securely across their organizations.

Under the terms of the partnership, IBM will make its multicloud offerings available to all Vodafone Business customers.

In addition, IBM will also manage Vodafone’s cloud systems, valued at $550 million, under the 8-year agreement. They will also work together to “co-develop new digital solutions” that combine IBM’s multicloud services with Vodafone’s expertise in 5G, edge computing and the “internet of things.”

“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,” Vodafone Chief Executive Nick Read said in a statement. The new venture will begin operations during the first half of 2019, the companies said.

The announcement of the new venture comes a day after IBM inked a $325 million agreement with Juniper Networks Inc. to help manage that company’s hybrid cloud infrastructure. IBM said it will use its IBM Services Platform with Watson to help manage Juniper’s support systems, including data centers, help desks and data and voice networks.

Photo: George Rex/Flickr

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