Gen-i seals $100m-plus ANZ win

Telecom's Gen-i has won its largest contract in New Zealand to date, a four-year deal to upgrade ANZ National Bank's telecommunications system and transition it to Internet telephony.

ANZ National and Gen-i would not disclose the value of the contract, but Gen-i confirmed it was bigger than its contracts with Westpac and ACC which are understood to have been worth more than $100 million.

Telecom has previously provided telco services to the bank, but ANZ National chief executive Graham Hodges says the switch to Internet telephony would provide "significant annual cost savings" and make the bank more flexible.

The agreement covers the provision of ANZ National's core datacentre and Internet protocol networks to link the bank's branches and ATMs. It also extends existing telecommunications services.

ANZ National Bank spokesman Craig Howie says the bank intends to retain a "strong platform for future growth around multiple brands" in the New Zealand market while capitalising on its scale.

"A key part of this is having an integrated telecommunications platform for voice and data."

The deal with Gen-i would let it move to a more coordinated approach with its telecommunications services.

ANZ National is believed to be the last of the major banks to begin the switch to Internet telephony. ASB Bank announced it was making the switch in 2005. Westpac has been investing in Internet telephony since signing a five year telecommunications deal with Telecom in 2005, and TelstraClear completed the roll out of Internet telephony to 5000 staff at BNZ in March.

- © Fairfax NZ News