Hewlett-Packard has agreed to transfer 3,000 of its employees to General Motors, as the automaker moves IT operations in-house, the two companies announced.
The HP workers are part of a team running GM's IT operations under outsourcing contracts. GM CIO Randy Mott said the car company hopes to add them to its payroll over the next six months.
Mott, named CIO of GM earlier this year, decided early in his tenure to bring most of the automaker's IT work in-house, a major shift for a company that has long relied on outsourcers. Under Mott, GM is consolidating and automating IT operations, and plans to put the savings toward innovation of its product lines and business operations.
GM plans to reduce its worldwide roster of data centers from 23 to two within three years. It also wants to cut the number of applications it uses by 40%, according to Mott.
HP will continue to have a role in GM's IT operations. The agreement between the two companies calls for GM to use HP's IT Performance Suite and Enterprise Security Suite, as well as data analytics and business intelligence software in the vendor's Vertica and Autonomy product lines.