The State IT Agency (SITA) will on Friday announce a three-year agreement with Microsoft to license its software across all national and provincial government departments.
Details of the deal have not yet been released, but Microsoft estimates that the agreement could save government up to R300 million over the three-year period, while SITA says government departments already in deals with Microsoft partners will save in the region of R6 million. According to other estimates, departments will save around $20 on each of its current licences.
The agreement is expected to include operating systems, the Office suite and other products. Support services will also be channelled through SITA.
Current licences are to be integrated into the global agreement, but it is not clear how many Microsoft products government departments currently use. SITA says more than 80% of government PC users are standardised on Microsoft products.
The deal has caused rumblings among Microsoft partners, who see it as encroachment on channel territory. None of the partners contacted by ITWeb would go on the record, but a number expressed fear that Microsoft could be moving in on other large and lucrative customers.
According to SITA, Microsoft channel partners will not be wholly excluded from government business.
"As and when other state organs approach SITA to render Microsoft licensing and support services to them, SITA will enter into deals with all Microsoft partners with a view to evenly spread business opportunities among them," the body said in a statement yesterday.
Microsoft SA representatives did not return calls seeking comment on the matter.
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