EDS alliance beats rivals to DSS contract

An EDS-led consortium of companies has won the first leg of a race for the government's largest IT contract this decade, nudging other services giants to one side.

After two years of struggling to gain 'preferred service provider' status from the government, the Affinity consortium was selected to outline a management scheme for the Accord project, an overhaul of the Department of Social Security (DSS) IT system, which has been valued at #7 billion over a 10-year period.

A representative for the DSS said the government's vision of the department's future was to have streamlined data stored in one place but accessible through a standard system across the UK.

He revealed that Affinity, which is made up of EDS, Cable & Wireless, IBM and Pricewaterhouse-Coopers, will be awarded the first contract in December but added all three competing consortiums would continue to bid for different stages of the Accord project.

The other two groups are Raceway, made up of BT, Bull and Sema Group UK, and 1 Accord, consisting of ICL, Anderson Consulting, Microsoft, Experian, Rand Information Systems and Ferret Information Systems.

The DSS representative said: 'We still have all the elements of competition here. EDS has got this part of the work because we believe it can do the job.'