Leveraging Virginia's $2 billion state IT partnership

Wednesday, November 16, 2005

Economic development is all about leverage. Here's a really smart deal on how a state modernizes its IT infrastructure while strengthening its development prospects in a rural part of the state.

Virginia governor Mark Warner has announced a major partnership with Northrup Grumman to modernize the state's IT infrastructure. The 10-year, $2 billion contract between Virginia and Northrop Grumman will bring hundreds of new jobs to the state. At Warner's insistence, a large portion of the agreement focuses on the revitalization of the Southwest Virginia region that has not shared in the success of the information technology industry.

In addition, the agreement includes a partnership between the University of Virginia and Northrop Grumman that will be based at the U.Va.-Wise campus.

The first component of the partnership includes a $270 million data backup center. Here's a good article on the different approaches that two Virginia counties took to attracting the backup data center. Read more.

Here's a follow-on article on how jobs for the data center will be filled. Read more.

posted by Ed Morrison |

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