July 16, 2003

Dept. of Homeland Security to buy Microsoft software

Dell to resell $90 million in products inlcuding Windows XP, Office XP, Exchange

BOSTON - The U.S. Department of Homeland Security (DHS) has agreed to purchase US$90 million worth of Microsoft Corp. software over the next five years from reseller Dell Computer Corp., the department said Wednesday.

Microsoft will supply software for both desktops and servers within DHS, said Rachael Sunbarger, a DHS spokeswoman. The department will install products such as Windows XP, Office XP, Microsoft Project, Microsoft Exchange, and Windows Server 2003, she said.

DHS has an option to extend the deal for a sixth year, which would bring the total value of the deal to $110 million, Sunbarger said.

No hardware is involved in the deal, despite Dell's role in bringing the agreement to completion. DHS has been a customer of Dell's since the department was formed in November of last year, and Dell often resells Microsoft software to its enterprise and government customers, a Dell spokeswoman said.

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