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Germany extends EDS contract

Electronic Data Systems announced that a German government agency has extended an information technology support contract for two years. EDS will provide support for the German Federal Office for Labor's 90,000 employees through 2006. The financial terms of the contract were not disclosed. The original agreement established EDS' help desk role in 1998.

IT outsourcing deals have been bright spots for the technology sector, which is otherwise still struggling. Outsourcing involves businesses contracting with IT companies for application development and tech support, leaving the businesses to focus on their core products and services.