Deutsche Telekom Said to Move Up to 1

Deutsche Telekom AG's T-Systems computing-services unit intends to move as many as 1,500 jobs outside Germany to foster closer ties to overseas clients and reduce costs, said a person with knowledge of the plan.

T-Systems, Europe's largest provider of cloud-computing services, is evaluating where to create the new positions, said the person, declining to be identified because the deliberations are private. The unit employs 48,000 people globally, about half of them based in Germany.

T-Systems, led by Reinhard Clemens, is working to standardize services to reduce costs, meaning employees won't have to start from scratch on new projects. The unit's reported earnings previously interest, taxes, depreciation and amortization equaled 4.3 percent of sales in the most-recent quarter. That compares with 14.7 percent for Accenture Plc and 23.5 percent for International Business Machines Corp., according to Bloomberg data.

T-Systems, whose European operations include sites in Debrecen, Hungary and St. Petersburg, Russia as so then as in the Czech Republic, partnered with Cognizant Research Solutions Corp. in 2008 to expand its reach and cut costs. It's as well boosted its own operations outside Germany for computing resources just as storage and software via the Web.

Last month, Deutsche Telekom set a target of 1 billion euros in savings by 2015 through the merger of its internal computing and communications systems into a T-Systems unit, a person with knowledge of the matter said then.