In the news: General Motors, world largest automaker---producer of popular GM Brake Shoes and owner of brands like Buick, Cadillac, Chevrolet, GMC, Daewoo, Holden, Hummer, Opel, Pontiac, Saab, Saturn and Vauxhall--- have recently awarded AT&T with a $1 billion five-year global networking contract which is considered to be one of the largest commercial contracts in the annals of AT&T.

Under the contract signed by both companies, AT&T is to provide General Motors with next-generation telecommunications capabilities plus support to the automaker’s third-generation information technology business model which is created to ensure that all of General Motors’ IT suppliers are working as one around the world.

And according to Ralph Szygenda, group vice president and chief information officer of General Motors, “This ensures that we have the basic infrastructure in place to give GM employees anywhere in the world the ability to collaborate online in real time on engineering, manufacturing, design and supply-chain.”

AT&T will also provide network integration management that would cover every aspects of GM’s worldwide telecommunications infrastructure, including data and voice applications as well as other needed systems support.

As part of the contract, AT&T will also be made responsible for managing the operation of key regional telecommunications providers around the world. Likewise, the telecom company as part of the agreement is delegated with network management responsibility of various participating telephone companies to ensure consistent IT service delivery and support.

To support GM’s global business strategy, AT&T will continuously collaborate with the automaker’s Information Systems and Services organizations. The contract between AT&T and GM expands and renews the existing strategic global relationship between the two companies and is further strengthened with AT&T providing GM with a global Virtual private Network (VPN) solution that would integrate the various GM locations around the globe.

AT&T’s solution is consists of local, long distance, global voice mail, conferencing, high speed internet access and telecommunications business-continuity services. The network will also deliver uniform telecommunications tools to all General motors employees. They will have a common voice mail and conferencing capabilities plus they will also get to enjoy the same quality of service regardless of whether they are stationed in the corporate headquarters in Detroit or in a manufacturing facility somewhere in Australia.

AT&T is the largest provider of both local and long distance telephone services. It also provides wireless telecom service under the brand Cingular Wireless and DSL Internet access in the US. The present company that is based in San Antonio, Texas, United States was founded in 2005 by SBC Communications which later merged with AT&T and make use of the AT&T moniker and the T stock trading symbol that stands for telephone. Even though the corporation is considered SBC renamed but most of its major subsidiaries were already part of AT&T prior to 1984. These major subsidiaries are consist of the Bell Operating Companies and the long distance division but due to AT&T’s lack of vertical integration the merger collapse and ended in an anti-trust suits.