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Home > About Ovum > Global offices > Ovum Deutschland
 T-Systems consolidates its Czech operations


Author: Katharina Grimme

T-Systems announced yesterday that it is combining its three Czech business units - T-Systems Czech, T-Systems PragoNet and gedas CR - under a single joint management, headed by Michal Hatle, current CEO of T-Systems PragoNet. The three business units will remain separate legal entities for the time being, but will co-operate closely and adopt a single business customer brand - T-Systems. The three companies had combined revenues of approximately €79m in 2005 and approximately 500 staff between them.

Comment: This is a sensible move that is probably overdue, and is in line with T-Systems' strategy of positioning itself as an integrated ICT provider, offering IT and communications solutions from a single source. Key target sectors are the manufacturing, services, public and automotive industries.

In the Czech Republic, T-Systems plans to expand its current solution and service offering, with a focus on customer relationship management, supply-chain management and product lifecycle management. The integration of gedas CR will help to strengthen the company's position in these areas and, in particular, in the automotive market.

T-Systems overall operations in the Czech Republic are still small and it is yet to be proven (not only in this geography) that the integrated ICT go-to-market approach has a competitive advantage over competitors such as S&T, which has only recently (EuroView Daily, 3 May 2006) acquired Czech Grall Group to strengthen its position in the outsourcing and IT services market.

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