Kevin Reale, director of automotive research at AMR Research in Boston, says GM primarily is trying to reduce information technology costs, not reinvent the wheel.
"Bottom line out of this, it's all the same players it's ever been," said Reale. "Some of the numbers just switch line items on the expense sheet.
"To me, this was more of a cost-management activity than driving innovation."
Five of the six contracts awarded Thursday total $5.53 billion. Only Compuware Covisint refused to reveal the value of its new GM contract.
Ralph Szygenda, GM's chief information officer, asked bidders to devise ways to help GM cut costs and speed up company operations.
EDS said that with last week's awards, plus other business, it expects about $1.3 billion in revenue from GM in each of the next five years. It generated $1.9 billion from GM and its affiliates in 2004 and $1.3 billion during the first three quarters in 2005.
EDS, a former GM subsidiary, put an upbeat spin on the situation -- in part because many inside and outside the company thought it could have turned out worse.
"It was a very hotly contested competition," says Jeff Kelly, vice president of the EDS GM account. "We won some segments that we had previously lost, and we lost some segments we had today."
EDS, of Plano, Texas, says it landed 70 percent of the GM contracts it pursued. It won $3.8 billion worth of GM contracts over five years.
Hewlett-Packard Co., its nearest rival, won more than $700 million worth of business.
EDS currently provides two-thirds of GM's information technology services. Its existing contract expires June 6.
Szygenda would not disclose what GM expects to save by going through this bidding process. GM wouldn't say when the rest of the $15 billion in contracts would be announced.