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Will Outsourcing Still Fly?

(continued)

"Our biggest fear was that they would get completely shut down and there would not be a buyer," says Rob Hack, who oversaw the deal with Genuity as Carrier's then­director of global information technology and infrastructure. If that had happened, he estimates it would have taken six to nine months to build a new hosting site with another outsourcer, cutting off critical business transactions for an unacceptably long time.

Instead, even in the most uncertain days, before Level 3 Communications agreed to acquire Genuity, "we experienced no degradation of service," says Hack. In fact, he says the service has been "outstanding." At press time, Carrier was planning to move more servers under Genuity's management this year, and forge a new deal with Level 3. —A.N.


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SPECIAL REPORT: OUTSOURCING IT

Outsourcing IT Is it time to renegotiate your outsourcing agreements?

"Pay as you go" may not replace the "one size fits all" outsourcing model for several years. But even if it's not time to buy your IT infrastructure services the same way you buy your heat or electricity, you should be shopping hard, negotiating hard, and benchmarking the terms of your agreements.

Read the special report

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