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Telecommunications and network provider BT Group PLC on Thursday said it was chosen by Deutsche Post AG's DHL Group to build a secure network as the global logistics company pushes to digitalise its supply chains.
The agreement, which spans eight years, will see London-based BT create a new network ‘to transform connectivity’ for Bonn, Germany-based DHL in 27 countries across Europe, including the UK.
Deutsche Post operates under the name DHL Group.
‘[The network] will be based on the latest technologies that combine the scale and flexibility of the internet with security and resilience to deliver trusted performance. It will be optimised for the cloud, where Deutsche Post DHL Group increasingly hosts its applications and digital services used by 350,000 employees at 1500 sites across the regions,’ BT said.
BT will audit DHL's existing network to identify and remove copper cables wherever possible, replacing them with fibre connections, which it said will optimise energy consumption. ‘Sustainability is a fundamental part of the network transformation,’ said BT.
DHL Chief Procurement Officer Anna Spinelli said: ‘Thanks to this new long-term agreement, both companies have strategically committed to work closely together to enable the best performing, flexible and sustainable network, globally.’
The financial details of the contract were not disclosed.
BT shares were down 2.5% to 182.55 pence each in London on Thursday, while Deutsche Post's stock was down 0.2% to €44.20 each in Frankfurt.
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