IBM has secured $1bn cloud hosting services contract from the US Department of Interior’s (US DOI) to move its information technology (IT) systems to a cloud based system.

As part of the deal, the US DOI will use IBM cloud computing technologies, services and hosting as a base for their next generation infrastructure to support transformation of its information technology (IT) systems to a cloud computing model.

The US DOI will use IBM’s knowledge in data storage, secure file transfer, virtual machines, database, web hosting, development testing and SAP Application Hosting as well as the IBM’s Smart Cloud for Government hosted at the IBM Federal Data Centre.

IBM US Federal general manager Anne Altman said, "IBM has been delivering trusted and secure cloud services to business and government clients for decades, and working with vitalisation technologies for more than 40 years."

The cloud migration will help the Department to tap IBM’s Smart Cloud for Government hosted at the IBM Federal Data Center, the Smart Cloud for Enterprise (SCE) commercial offerings and IBM AIX Cloud.

Under the deal, other US government agencies will be allowed to access IBM Cloud solutions through the DOI Foundation Cloud Hosting Services vehicle, which allows request for quotes/task orders to be issued on behalf of other government customers.