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Margaret Hodge's book outlines 'mind boggling' UK public sector waste

Review It’s impossible to read former bollocker-in-chief Margaret Hodge’s account of being chair of the government's spending watchdog without repeatedly banging your head against the wall. Hodge presided over the House of Commons’ Public Accounts Committee between 2010-2015, during the coalition government’s austerity programme. …
Kat Hall, 20 Sep 2016
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CSC straps another 100 jobs to redundo cannon, lights fuse, walks off

CSC UK execs left sweating over local profit “challenges” have again opted to expunge costs from the business in a time-honoured fashion by strapping human capital to the employment cannons. Not content with running one redundancy programme this summer – the first started in May with the aim of losing 248 jobs – top brass have …
Paul Kunert, 19 Sep 2016

HPE EMEA boss confirms shuffling of exec deck

HPE GPC '16 Hewlett Packard Enterprise’s latest EMEA chief has lined up his generals and the divisions they will run from the start of the new fiscal year beginning November. Andy Isherwood, who replaced Peter Ryan as senior veep for the Enterprise Group and MD for EMEA in July, is preparing for life after Enterprise Services and the …
Paul Kunert, 14 Sep 2016

Waters named HPE boss on his 40th b'day

White smoke emanated from the towers at Hewlett Packard Enterprise’s London-based digs yesterday as Marc Waters was ordained leader of UK and Ireland ops. The permanent job offer always seemed on the cards when Waters was made acting MD in July, taking over from Andy Isherwood, who was himself elevated to EMEA boss in a …
Paul Kunert, 13 Sep 2016
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Hewlett Packard Enterprise in talks to offload software, asking for '$8bn to $10bn'

The breakup of Hewlett Packard Enterprise is set to continue with execs locked in talks to offload the software division to private equity biz Thomas Bravo. The asking price is said to be $8bn to $10bn. The sale, reported first by Reuters, would close the curtain on one of HPE’s most embarrassing episodes, namely the …
Paul Kunert, 02 Sep 2016
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HPE sharpens knife for next salami-slicing staff redundo round

HPE is aiming its guns at 220 roles in the UK and Ireland in what appears to be becoming its quarterly firing exercise at the biz. In a memo sent to staff seen by The Register, Maurice Mattholie, HPE UK and MEMA veep of Infrastructure Technology Outsourcing (ITO), told employees the move was part of its Workforce Management …
Kat Hall, 22 Aug 2016

Domain name bods NetNames netted by CSC Global

Domain biz NetNames has been flogged to US biz services outfit CSC Global for an undisclosed sum. Private Equity biz HgCapital has decided to offload NetNames after taking the publicly-listed outfit private in autumn 2011 for £153m, but it said little else about today's transaction. The deal isn't a massive surprise, as we …
Kat Hall, 02 Aug 2016
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

Third time unlucky? HPE in redundancy talks with UK services staff

Hewlett Packard Enterprise has told UK and Ireland Enterprise Services (ES) staff they face the axe once again – in a third round of redundancies in less than a year. The company, which is offloading the division to CSC in the next financial year, is asking for volunteers this time unlike the previous compulsory job cuts. In …
Paul Kunert, 22 Jul 2016

Hewlett Packard Enterprise shifts the deck chairs

A reshuffling of Hewlett Packard Enterprise’s management stack ahead of the split with its services division has seen UK boss Andy Isherwood made EMEA MD and the region’s Enterprise Group boss. Isherwood will replace long-serving exec Peter Ryan, who has taken control of the EG sales organisation globally including all …
Paul Kunert, 11 Jul 2016
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900 Hewlett Packard Enterprise staff to leave building by month end

Nearly 900 UK-based personnel at Hewlett Packard Enterprise are to be released into the wilds at the end of this month, according to the redundancy schedule seen by The Register. The majority of those made to walk the plank come from Enterprise Services, which is the area that has been hit hardest in HPE’s continuous cost- …
Paul Kunert, 04 Jul 2016
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

HPE is still swinging the layoffs axe: 500 more services folk get chop

Another quarter and another round of people are being crammed into Hewlett Packard Enterprise Services’ employment cannon – 500 poor souls in the UK and Ireland have been told to stand in line. As revealed by El Reg some months ago, HPE’s Enterprise Services (ES) division – the one being merged with CSC – put nearly 1,100 …
Paul Kunert, 02 Jun 2016
HP CEO Meg Whitman

Whitman deletes another chapter in HP history as CSC and ES borg

Hewlett Packard Enterprise CEO Meg Whitman is dismantling another legacy bequeathed to her by a predecessor as she waves goodbye to Enterprise Services. The first lady of Palo Alto has already closed the chapter opened by one-time CEO Carly Fiorina who had signed off the buy of Compaq, only for HP's PC business to be ejected …
Paul Kunert, 26 May 2016
HP's Multi Jet Fusion 3D printer

HP Inc-eption: Our new 3D printers print themselves, says CEO

Just like Leonardo DiCaprio and his photogenic pals crafted dream worlds out of dream worlds in the hit flick Inception, we're told HP Ink prints its 3D printers using its 3D printers. Take one of HP Ink's new and expensive 3D printers, and you can print out half of the components needed to build another one, CEO Dion Weisler …
Chris Williams, 26 May 2016
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Hardware sizzles for HPE – and brings home the bacon

Software and IT services might make the world go round – at least in the heads of Wall Street moneymen – but it was hardware that once again brought home the bacon for Hewlett Packard Enterprise. For the three months ended 30 April (second quarter fiscal year 2016 – summary, tables [PDFs]), HPE's turnover edged up one per cent …
Paul Kunert, 25 May 2016
Signpost saying Happy Sad

Craig Wilson just can't catch a break. Tries to leave HPE, finds self back again

Will someone please spare a thought for industry old-timer Craig Wilson, the former UK boss of Hewlett Packard Enterprise Services who - we are told - was glad to escape the firm’s internal politics. Wilson departed the job in autumn 2014 amid a reorg that saw Jacqui Ferguson take change of the local operation, returning from …
Paul Kunert, 25 May 2016
Mark Lawrie of CSC and Meg Whitman of HPE in the video announcing the merger of their services operations

HPE spins out enterprise services business into CSC

HP Enterprise (HPE) has spun out its enterprise services business into CSC, creating an entity with US26bn of revenue. HPE has made lots of noise about turning around its services division, largely by aggressively reducing its headcount. In this move, HPE will be senior partner in the new entity by revenue and headcount but …
Simon Sharwood, 25 May 2016
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CSC grabs pistol, plays employment paintball with P45s

Wimbledon is around the corner, the hippies are getting ready for Glasto and sickly integrator CSC is cutting jobs again - the summer season is upon us. Almost like clockwork, the US-headquartered company has again kicked off yet another redundancy programme - it ran one in June last year and one in May 2014. In a memo to the …
Paul Kunert, 17 May 2016
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Central gov spent £6.3bn on IT. Nearly half handed to just 3 suppliers

Central government splashed £6.3bn with IT suppliers for the year 2014/15 – with 42 per cent going to just three suppliers, according to government data shared with The Register. Sixty-five per cent of the total figure was hoovered up by 10 suppliers, with HP coming top at £1.2bn, followed by Capgemini at £861m, and BT at £ …
Kat Hall, 29 Apr 2016

Security market to exceed $170 billion by 2020, analysts say

The information security market will hit US$170 billion (£120 billion, AU$227 billion) by 2020, a growth projection of some US$100 billion (£70 billion, A$134 billion) from current figures according to analyst firms. India-based firm MarketsandMarkets says the 2020 total includes security technologies like data leak prevention …
Darren Pauli, 10 Mar 2016
Police officers in bodu armour mill around in field

Accenture leans back, receives £86m Met Police contract

The Metropolitan Police has inked a £86m deal with Accenture to manage its applications, the latest contract award in the force's plan to shave £200m from its IT budget over the next three years by carving up its existing Capgemini contract. The deal will last for five years, with the option of a three year extension. The …
Kat Hall, 08 Mar 2016
Dispatchers are vital to co-ordinating on the ground activities

Met Police hands £250m to CSC in IT outsourcing carve-up

The Met Police has handed £250m in contracts to CSC, part of its potentially risky plan to carve up large chunks of its IT in the hope that outsourcers can do a better job. The contracts are for a £155m end user computing deal to provide managed desktop services, storage over the next five years; and a £95m hosting deal to …
Kat Hall, 24 Feb 2016
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CSC boss Gossain is now an ex-exec

CSC UK chief Sanjiv Gossain has joined the not-so-selective club of ex-execs, leaving the ailing integrator less than two years into his tenure. In a wonderful blurt of business-speak, CSC sent us a statement on his departure, confirming Gossain is leaving to “pursue other opportunities as he transitions to the next chapter of …
Paul Kunert, 01 Feb 2016

CSC beats off Capita, snaps up Xchanging for £480m

Computer Sciences Corporation is to snap up business processing outfit Xchanging for £480m, having beaten off its rival suitor Capita. The move appears to be part of plans to split CSC into two publicly traded companies: one for commercial and government clients globally and one to serve public sector clients in the US. Mike …
Kat Hall, 09 Dec 2015
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NHS IT projects worth £5bn at 'high risk' of failure, warns HSCIC

The NHS currently has £5bn in IT projects deemed at “high risk of failure”, according to the latest board minutes from the Health & Social Care Information Centre. The ratings (PDF) are based on gateway reports assessing the risk of four IT projects this year. All are related as “red” or “amber/red” meaning successful …
Kat Hall, 08 Dec 2015
hands waving dollar bills in the air

Capita holds out for Xchanging, extends offer for a second time

Outsourcing giant Capita has extended the window by two weeks for business processing outfit Xchanging's investors to accept its £412m offer for the outfit. The outsourcer had originally slapped 160 pence per share on the table to tempt investors by 30 November. However, two weeks ago rival CSC offered a 170-pence-per-share …
Kat Hall, 01 Dec 2015
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CSC trumps Capita bid for Xchanging by a whole 10 pence

CSC has confirmed it has thrown its hat into the very small ring of firms bidding to take over Xchanging, offering six per cent more than rival bidder Capita. Capita was left the only bidder for Xchanging earlier this month, when private equity outfit Apollo upped and left the negotiating table. Capita’s 160p per share offer …
Joe Fay, 13 Nov 2015
HP Logo splitting in two

The $53bn 'startup': Hewlett Packard Enterprise begins life

The UK country chief of $53bn “startup” Hewlett Packard Enterprise might have had a number of concerns on his mind this morning but retail stock levels or a huge separation task weren’t among them. For HP, the grand old lady of Silicon Valley, has split in two a year after going public about plans to hive off the PC and print …
Paul Kunert, 02 Nov 2015
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CSC beefs up public sector biz with $390m merger deal

Soon-to-be split CSC is merging its government services biz with US public sector IT outfit SRA for $390m (£254m). The acquisition will add around $1.4bn (£911m) in revenue and 5,000 staff to CSC's public-sector outfit, creating combined annual sales of $5.5bn (£3.6bn) and a workforce of nearly 19,000 employees. Mike Lawrie, …
Kat Hall, 01 Sep 2015

Outsourcing tanker CSC sales growth torpedoed

Leaky outsourcing tanker CSC saw sales growth drift off on the horizon for yet another quarter – the first of its fiscal 2016 – but the services slinger is back in the black, without the help of tax benefits. The fact CSC slashed costs and expenses by nearly half a billion dollars had nothing to do with bottom line beefiness, …
Paul Kunert, 12 Aug 2015

NetApp sees IBM/Cisco VersaStack as 'huge' threat to FlexPod

NetApp has inadvertently leaked competitive intelligence documents to a community newsfeed, and the contents reveal it worries that IBM and Cisco's VersaStack will threaten its FlexPod business and that SolidFire has emerged as a threat. Several documents penned by the “NetApp Competitive Advantage Team” have reached a public …
Simon Sharwood, 30 Jul 2015
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

CSC insiders: 800 job cuts will hit service delivery for punters

CSC is pressing ahead with plans to axe hundreds of workers, brushing aside concerns from some employees that customers are already feeling the pinch of past cost cutting actions. In what has become an annual ritual for CSC, almost 800 employees were put at risk of redundancy in May, with their roles earmarked to be sent to …
Paul Kunert, 23 Jun 2015

UK NHS IT supplier CSC coughs up $190m fine, three execs in the dock

Computer Science Corporation has paid its $190m (£122m) fine, levied by US watchdog the Securities and Exchange Commission over charges the Virginia-headquartered biz fudged its financial reports. And now some senior executives have agreed to hand back millions of dollars in pay and bonuses as a result of the SEC's probings. …
Iain Thomson, 05 Jun 2015
Titanic sinking

IaaS is OVER, ladies. Time for OpenStack to jump clear

Data. Was ever such a single word filled with such promise – and heartbreak – for IT firms? In the cloud, succeeding in getting hold of people’s data means these people are incentivized through inertia to stay with you. That’s the promise, at least. The rub? Actually making a successful business from people’s data. The act of …
Gavin Clarke, 20 May 2015

CSC picks up axe, takes aim at its own profitable bits

CSC confirmed last night it is to split the US public sector biz from the rest of the group – the only division last quarter where sales aren’t dropping and which generates the highest operating profit. As expected, the hard-pressed integrator is to hive off the operation into a separately listed company, with sales of $4.1bn …
Paul Kunert, 20 May 2015
Files in manager's desk drawers: manila folder marked "Redundancies". Image via shutterstock

Unite: CSC using staffers' profitability to shape the future

The Unite union reckons some of CSC’s highest-paid Brit staff could be headed for the chopping block in the company's latest job purge, as it enters consultation with local management. The beleaguered integrator is bundling 800 workers out of the door to cut costs, with a proportion of those roles to be off- and near-shored, El …
Paul Kunert, 18 May 2015
Railway line split. Pic: Ian Sane

Splitters! CSC to break itself into pieces following job cull

The break-up craze among the largest tech vendors may have reached the channel, with talk that CSC will separate its North America government unit from the rest of the private-sector sales organisation. The split could come as early as next week, according to Reuters, when the loss-making company takes the covers off its latest …
Paul Kunert, 15 May 2015
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CSC picks up the axe yet again, eyes 800 staffers' quivering necks

Exclusive CSC is preparing to axe almost 800 staff in the UK and Ireland in what it is calling a "Get Fit" phase, with current proposals to transfer some of these positions to near-shore and offshore centres. Bloodletting is a seemingly annual custom for the scandal-hit ailing integrator. It is just over a year since CSC put 750 workers …

CSC confirms top exec suspended over Australian bank scandal

CSC has confirmed that one of its top brass – Eric Pulier – has been suspended, while it investigates allegations he gave kickbacks in the multi-million-dollar Commonwealth Bank of Australia IT contract fraud scandal. Police in the Australian state of New South Wales (NSW) recently charged a former employee of the Commonwealth …
Kat Hall, 01 Apr 2015

£100 MILLION poured down drain on failed UK.gov IT projects - in just ONE YEAR

Whitehall mandarins have wasted more than £100m on failed or cancelled IT projects in the last 12 months. That’s according to the Taxpayers’ Alliance, which has collated losses across all departments for 2013 – 2014. The Alliance uncovered £107m lost as projects were scrapped, gains weren’t realized or unnecessary costs were …
Gavin Clarke, 16 Feb 2015
Scrooge McDuck

Oracle data centre offers its back end to banking upstart

Oracle is becoming a British banking back end, with its data centres about to start holding the money and details of some of the UK’s wealthiest citizens. Hampden & Co, due to launch in the first quarter of 2015, has picked Oracle’s Flexcube as its core banking platform, the database giant said Tuesday. Unlike other Flexcube …
Gavin Clarke, 15 Jan 2015
SEC

US tech titan CSC slapped with $190m penalty

IT giant CSC has been slapped with a $190m (£122m) penalty by US regulator the Securities and Exchange Commission following a probe into the firm's accounting practices. The investigation was opened in 2011, mainly into the firm's European outsourcing unit - including revenue from its troubled NHS contract negotiations between …
Kat Hall, 30 Dec 2014

Are CSC's mega-costly NHS contracts finally turning a profit?

CSC's troubled billion-pound NHS contracts finally appear to be turning around, chief executive Mike Lawrie revealed in a conference call. However, it is unlikely the firm will ever recoup its money from the defunct systems, which have cost the company close to £2bn. In a conference call for CSC's second quarter earnings Mike …
Kat Hall, 11 Nov 2014
management project3

CSC set for ANOTHER re-org but no redundancies involved

Re-arranging the UK deck chairs on good ship CSC is the strategy the integrator has chosen after shelving plans to make further redundancies, according to numerous sources. The US-owned business does not generally shy away from making redundancies, axing 750 people from its Brit operation in late April and parting company with …
Paul Kunert, 10 Nov 2014

Revenue drops at IT giant CSC... 'Good progress' says chief

Revenue at CSC fell by 3.4 per cent to $3.08bn for the firm's second quarter as "transformation efforts" took hold at the IT giant. Meanwhile, operating income fell 3.3 per cent compared to the same period last year – to $340m. Half-year net income fell by $112m to $307m, compared with the first six months of 2013. Sales were …
Kat Hall, 07 Nov 2014

HDS launches compute-as-a-service in Equinix bit barns everywhere

Hitachi Data Systems (HDS) has come up with a new way to keep selling hardware in the cloud age, by creating a compute-as-a-service service that will live in Equinix's 32-nation-strong bit barn network. HDS is most often characterised as a storage vendor and has offered storage-as-a-service for some years. The company also re- …
Simon Sharwood, 27 Oct 2014

A beheading in EMC's ViPR lair? Software's big cheese to advise CEO

Analysis The head of EMC's Advanced Software Division – the man behind the storage giant's ViPR technology – has become an advisor to EMC CEO David Goulden. We'll explain why this is a big deal. Amitabh Srivastava headed EMC's Advanced Software Division (ASD) after coming over from Microsoft in 2011; we wrote about his arrival to run …
Chris Mellor, 12 Aug 2014
USB Stress Panic Button

US titan CSC: Our numbers are going nowhere this year

US titan CSC – you remember, the firm that botched the £10.1bn National Programme for IT – is bleeding out slowly, with revenues dwindling and income growth stalling. The bad news for investors and staff respectively is that things are not forecast to get better any time during this fiscal year, and the company is again …
Jasper Hamill, 08 Aug 2014

Serco welcomes former CSC boss to run gov unit

Gardening leave is almost over for former CSC UK bigwig Liz Benison, who is set to rock up at Serco to run its Brit and European local and regional government division from the start of next month. As revealed by The Channel back in April, Benison was replaced at the CSC helm by ex-Cognizant veep Dr Sanjiv Gossain, at the same …
Paul Kunert, 08 Aug 2014
big droplets falling from rain cloud

Amazon's cloud reign may soon come to an end, says Gartner

The worshipers of Gartner's famed Magic Quadrant have shuffled forth from their back-office tomb clutching jeweled calculators and have proclaimed Amazon the One True Cloud, although they added that it now faces strong competition. The workers of the analyst firm announced Amazon's dominance in a new "Magic Quadrant for Cloud …
Jack Clark, 28 May 2014
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Your legacy app sniffs the cloud cauldron and retches ... time to try another recipe

The battle between Amazon Web Services, Google and Microsoft for the public cloud gets a lot of attention, but global managed services provider Dimension Data has thrown its hat into an adjacent ring with a new hybrid Windows Server cloud. DiData's service uses Microsoft's Cloud Platform and Hyper-V everywhere, which means a …
Simon Sharwood, 05 May 2014

Opinion

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Kat Hall

Plans for 2 million FTTP connections in next four years 'not enough'
Microsoft CEO Satya Nadella
Stranded_ships

Chris Mellor

Thousands of layoffs announced as spinning rust enters its death spiral

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