IBM outsourcing deal with Texas still worth it, consultants say

Texas' massive computer outsourcing contract with IBM is mired in delays, server meltdowns and disputes, but it can still be salvaged, two independent consultants said Friday. But low morale among IBM employees, poor service and billing disputes remain chronic problems, and if the state is to rescue the troubled privatization push, it must let IBM concentrate first on the most critical needs of agencies, the report said.

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