Lloyds TSB to create [pounds sterling]500 million unified network

Fiber Optics Weekly Update, Dec 10, 2004

IBM has struck a seven-year deal worth [pounds sterling]500 million with Lloyds TSB, to transform the bank's traditional communications system into a converged voice and data fiber-optic network.

This deal represents a significant investment by Lloyds in a unified voice and data network: it covers over 2,000 Lloyds U.K. branches, 4,200 cash-points, and a telephone network that handles over 60,000 calls every day. As part of the contract, Lloyds will be introducing 70,000 voice-over-Internet-Protocol (VoIP) handsets.

Lloyds will use the unified network to improve customer service, although it is keeping details of potential new products close to its chest. "This innovation will help to transform our infrastructure into a 24 hour service platform for our business systems," said Igor Andronov, IT director at Lloyds TSB.

IBM will partner with network management group Vanco to build a national Digital Subscriber Line (DSL) and Multi-Protocol Label Switching (MPLS) network over the next 20 months. Networking giant Cisco will supply the VoIP handsets.