Press Release

BT Group’s Digital Unit and Amazon Web Services (AWS) today announce a new, wide-ranging strategic collaboration agreement, building on the existing partnership between the companies that already sees AWS play a key role in supporting the Group’s modernisation.

The new partnership covers a few core areas:

·       An agreement to collaborate on new Internet of Things (IoT) industry solutions that help UK and global customers take advantage of the efficiency and innovation benefits next generation connectivity offers

·       BT becomes a Channel Partner for AWS Marketplace, providing a single source for managed solutions to its customers

·       New 5G edge computing services for BT’s UK business customers powered by AWS Wavelength

Collectively, the collaboration agreement targets a $500m revenue opportunity for BT across the spectrum of connectivity and digital solutions and services, in the UK and worldwide, over the next five years.

Connected industry

BT Group’s IoT platform is already built on AWS, delivering connected device capabilities across healthcare, smart places, ports, manufacturing and transport and logistics, including work at Belfast Harbour and the Association of British Ports in Ipswich.  As part of this agreement, the two companies will work together to advance BT’s  existing IoT services and create new ones that combine AWS services with BT’s leading network and service delivery expertise to solve problems for customers across a variety of vertical industries. The new solutions and services that will be explored through the partnership are focussed on delivering value and opportunity for BT’s customers in the UK and globally as they tackle a wide range of challenges.

Reseller partnership

BT becoming an AWS Marketplace Channel Partner allows the company to offer additional enhanced managed security and third party Software-as-a-Service (SaaS) solutions to its customers globally. BT has already started offering customers the opportunity to buy software elements of managed service agreements through the AWS Marketplace. This allows BT customers to benefit from improved simplicity when purchasing via AWS Marketplace, allowing them to retire their annual spend commitments and make use of available AWS programme incentives, while retaining the value of working with BT as a managed service partner to deliver the solution end-to-end.

“AWS and BT Group have shared ambitions at the intersection of cloud and connectivity, and we’re delighted that we have this partnership to frame how we will work together to accelerate these outcomes, for our customers and for the Group,” explains Thomas Duecke, Chief Operating Officer, Digital, at BT Group.

“Moving from a connectivity provider to a digital services provider is a strategic shift to help communication service providers unlock growth,” said Adolfo Hernandez, Vice President and General Manager, Telecom Global Industry Business Unit, AWS. “This new agreement with AWS helps BT accelerate that journey and deliver greater value to its customers.”

For more information on AWS & BT’s partnership for 5G edge computing services, see here. More information on the companies’ collaboration on cloud networking will be released later in the year.

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NEWS

Workers at state-run fixed network provider Ogero began an ‘open ended strike’ on Friday in protest against pay freezes reflecting the sharp depreciation of the nation’s currency

Speaking to The National newspaper, Ogero chairman Imad Kreidieh said, ‘We are heading to a catastrophe if a deal is not found with the government: the network will completely stop working as our generators will gradually run out of fuel.’ Kreidieh warned that ‘Lebanon completely relies on Ogero for its bandwidth, leaving no one exempt from a blackout,’ noting that both state MNOs Alfa and Touch would be effected.

Kreidieh also called on parliament to address workers demands, as it convened yesterday stating “The issue of public servants’ salary is supposed to be on the table. We will see what comes from the session: maybe politicians need a sudden blackout to realise how important the telecom sector is.”

The National’s report highlighted how the country’s currency crisis has slashed Ogero’s budget to USD4 million – barely enough to cover expenses for fuel required to operate internet relay stations leading to drastic salary cuts. Lebanon’s currency hit a record low last week, with LBP100,000 now only worth USD1 as opposed to USD67 before the onset of the economic crisis in 2019. The report also quoted an Ogero union member as “our salary is worth nothing because of the currency collapse, our demands are the same as other public sector employees: we want our salaries to be tied to the dollar.”

The country’s rampant inflation rate, currently at 180%, has far outstripped any financial aid afforded to public servants or pay increments on salaries. In a statement last week, Ogero employees invited contractors and non-salaried workers to join them in downing tools “given the continuous disregard for our demands to amend salaries”, which they claimed “are now equivalent to 1%” of their former value.

 

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News

Reports suggest that the unit could be worth up to £200 million

This week, media reports suggest that UK ISP TalkTalk is exploring the possibility of selling off its B2B arm, TalkTalk Business Direct.

The unit, which currently serves around 80,000 enterprise customers in the UK, could fetch a price tag of £200 million, according to sources.

Any deal would also include a long-term wholesale agreement, giving the buyer preferential access to TalkTalk’s network.

Investment banking firm Houlihan Lokey has been hired to oversee the sale.

The news comes at an interesting time for TalkTalk, which has been a recent undergoing a management reshuffle.

Until late last year, the company was in discussions about possibly being acquired by Virgin Media O2 for a sum of around £3 billion. However, regulatory hurdles ultimately saw these discussions shelved, leaving TalkTalk’s future uncertain.

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