Chrysler and Tata hook up... on computers

Chrysler has been on the look-out lately for dancing partners for anything from vehicle platforms to alternative propulsion, and the Pentastar has extended its outsourcing to IT services. Chrysler and Tata Consultancy have teamed up on a $120 million, multi-year contract that sources Chrysler's dealer website work to India. The deal effectively continues the partnership formed between Tata and Chrysler in 2002, but the new deal means even more work goes to India.

Chrysler points out that the IT services were previously performed by contractors that weren't Chrysler employees, but the Auburn Hills automaker declined to mention which company lost the work. IT workers at Chrysler are still nervous about the possibility of more IT outsourcing, however, and it's hard to blame them. Chrysler is strapped for cash and looking to free up money for new products, and IT isn't exactly a core automotive function. It will be interesting to see if Chrysler and Tata will one day expand the partnership to include more vehicles, but this time it's just bits and bytes.

[Source: Detroit Free Press]

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