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Sprint Nextel slaps IBM with $6.4M lawsuit over outsourcing

KANSAS CITY—Sprint Nextel Corp. has reportedly filed a $6.4 million lawsuit against IBM Corp., accusing IBM of missing the performance requirements of a large information technology outsourcing contract.

The lawsuit, according to the Kansas City Business Journal, was filed Monday in the U.S. District Court in Kansas City, Kan. In it, Sprint Nextel alleges that IBM did not credit the carrier with nearly 120,000 hours of contract work that came due when IBM failed to meet goals for improved productivity.

ISprint Nextel officials were unavailable for immediate comment. IBM spokesperson Scott Cook said that the company does not comment on ongoing litigation, but added that “Our relationship with Sprint is really very healthy

Sprint Nextel has a separate contract with IBM Business Consulting Services. The five-year contract was announced in early 2004 and involves IBM taking over much of Sprint Nextel’s customer care and call center operations.

 

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