IBM has signed a 10-year, approximately $1.1 billion outsourcing contract with Gap Inc.

Under the agreement, IBM will provide Gap Inc. with mainframe, server, network, helpdesk and deskside support services across its North American stores and corporate locations.

For the retail major, IBM will develop a virtualized server and storage platform strategy. IBM will also extend its networking capabilities to over 2,000 North American Gap retail locations, and provide technology and integration expertise for wireless network.

Michael Tasooji, CIO and executive vice president of Gap Inc., said, "Delivering capabilities that drive our retail business, provide competitive advantages and serve our customers are our highest priorities. Transferring our technology infrastructure operations to IBM enables us to deliver and implement these solutions faster."

Bob Zapfel, IBM's general manager of IT services, Americas, said, "IBM understands the business and technology imperatives that drive the retail industry. We look forward to extending our relationship with Gap Inc., one of the world's largest and well-known apparel retailers."

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