Total
0
Shares
CGI Inc. - Executive Chairman, Serge Godin - The Market Herald Canada
Executive Chairman, Serge Godin
Source: Het Financieele Dagblad
  • IT and business consulting services company CGI (GIB.A) has signed a six-year extension to its contract with the City of Edinburgh Council
  • The contract will now go through to 2029, adding a further C$175 million to CGI's income
  • CGI will support the creation of a Smart City Operations Centre through the provision of various artificial intelligence, Internet of Things and advanced analytics services
  • It forms part of Edinburgh's overall goal of becoming carbon neutral by 2030
  • CGI (GIB.A) is currently down 0.76 per cent and is trading at $92.43 per share

IT and business consulting services company CGI (GIB.A) has signed a six-year extension to its contract with the City of Edinburgh Council.

The extended service period, which will now expire in 2029, will see an additional C$175 million brought in as income for CGI.

In support of the Scottish capital's aim to become carbon neutral by 2030, CGI will deliver transformative digital services using artificial intelligence, the Internet of Things and advanced analytics.

These improvements include bridging the city's "digital divide", offering digitally advanced networks and equipment to schools, and addressing core programs and projects such as finance, tourism, health and social care, intelligent traffic signals and smart streetlights.

Lindsay McGranaghan, Vice President and Business Unit Leader for Scotland, said Edinburgh is a vibrant and diverse capital city that is growing at twice the national Scottish average.

"This growth brings huge opportunities to develop a modern, digital infrastructure that meets the demands of twenty-first century living.

"By using the latest digital technology, we aim to help the Council make living and working in Edinburgh more transparent, collaborative and dynamic," she added.

Despite the success of the existing five-year relationship between the two organisations, not everyone is on board with the extension.

Tory group leader Iain Whyte said the contract would require serious consideration following a number of previous problems.

"The initial partnership with CGI took a very long time to deliver a decent basic service and certainly hasn’t delivered the developments in ‘smart city’ that were promised last time round.

"This seems to be a new promise to do what was meant to happen a few years ago, so it will need some really strong management and really strong scrutiny of the contract to make sure it delivers," he added.

CGI (GIB.A) is currently down 0.76 per cent and is trading at $92.43 per share at 10:57am EDT.


Subscribe


More From The Market Herald
Rogers Communication Inc. - President & CEO, Joe Natale - The Market Herald Canada

" Ookla ranks Rogers (TSXV:RCI.B) Canada’s most consistent internet provider

Rogers (RCI.B) has been ranked Canada’s most consistent national wireless network and broadband provider by Ookla.
Shaw Communications Inc. - Executive Chair & CEO, Brad Shaw - The Market Herald Canada

" Shaw Communications (TSX:SJR.B) maintains profit despite fall in revenue

Shaw Communications (SJR.B) has reported an increase in profit for the quarter ending November 30, 2020, despite a marginal decline in revenue.
TELUS - President and CEO , Darren Entwistle - The Market Herald Canada

" TELUS (TSX:T) proposes IPO of TELUS International on NYSE

Telus Corporation (T) has filed a registration statement for a proposed initial public offering (IPO) of its subsidiary, Telus International.
TELUS - President and CEO , Darren Entwistle - The Market Herald Canada

" Telus (TSX:T) unveils new agricultural business

TELUS is taking its telecommunication expertise into the farmstead, with the launch of a new agricultural-focussed business.