The more I think about Auckland’s IT debacle the angrier I get.
Let’s put some perspective on the more than $1 billion spend.
Total amount blown by the Auckland Council on IT = $1.24 billion. There is no revenue to the Council for that spend: it is gone, with more bills to continue. No profit either…just ongoing massive sunk costs.
In contrast the market capitalisation of a company like Xero is $2.03 billion, and they have revenue…$70.1 million in 2014 and $123.9 million in 2015.
New Zealand’s largest IT company is Datacom.
New Zealand head-quartered and owned information and technology organisation Datacom Group Ltd is pleased to report a strong year of progress and substantial lift in profit for the year ending 31 March 2014.
The total Group profit before tax totalled $64.7m compared to last year’s $50.9m, an increase of 27%. Operating profit before gains on assets divested was in line with last year, with overall revenue up by 1.3% from $870m to $881m.
Datacom Group Chairman Craig Boyce says, “We’re pleased to report an excellent performance. Overall the Group maintained a 10-year compound annual growth rate of 12.5% for revenue and 11% for profit; this result demonstrates the sound strategic direction of the company and the long-term financial stability of the Datacom Group.”
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