Electrolux will use IBM's On Demand pricing model, whereby Electrolux pay per user as it flexes its business up and down to respond to market conditions and M&A activity. The contract anticipates a likely range over time of between 13,000 and 19,000 desktops.

As part of this agreement, IBM will take over the current PC environment at Electrolux by implementing standardized infrastructure and support organization. PCs, Local Area Networks and Lotus Notes will be provided together with a support organization using Tivoli enterprise management tools.

The Electrolux global IT service provider, Electrolux IT Solutions, will be managing the transition process and on-going agreement.

Commenting on the agreement, Art Cox, Vice President Group IT Staff for Electrolux said "This agreement is the result of an exhaustive review conducted over many months. We chose IBM because they understand our business, they have a flexible approach and because of the cultural fit. We are confident that through this partnership with IBM, we will have a standardized system with higher security at a lower cost and with more efficient usage of our own assets."

As part of this agreement, more than one hundred Electrolux IT employees and hardware assets will transfer to IBM. The anticipated service start date is 1st August.