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EDS was started in 1962 by H. Ross Perot.[1] Perot’s goal was to establish a company that offered high-end electronic data processing management personnel, along with the computer hardware, by targeting large corporations and by offering long-term contracts at a time when short-term contracts were the industry norm. The creation of Medicare in 1965 gave EDS an opportunity to enter government contracting, and by 1968 Medicare and Medicaid contracts provided about 25 percent of EDS revenues. By 1977, healthcare-claims processing accounted for nearly 40 percent of EDS revenues.
In 1984, General Motors agreed to buy EDS for $2.5 billion. In 1996, GM spun off EDS again as an independent company, and then became one of its largest clients.
On May 13, 2008, Hewlett-Packard Co. confirmed that it had reached a deal with Electronic Data Systems to acquire the company for $13.9 billion.[2] The deal was completed on August 26, 2008. EDS became an HP business unit and was temporarily rename...
EDS was started in 1962 by H. Ross Perot.[1] Perot’s goal was to establish a company that offered high-end electronic data processing management personnel, along with the computer hardware, by targeting large corporations and by offering long-term contracts at a time when short-term contracts were the industry norm. The creation of Medicare in 1965 gave EDS an opportunity to enter government contracting, and by 1968 Medicare and Medicaid contracts provided about 25 percent of EDS revenues. By 1977, healthcare-claims processing accounted for nearly 40 percent of EDS revenues.
In 1984, General Motors agreed to buy EDS for $2.5 billion. In 1996, GM spun off EDS again as an independent company, and then became one of its largest clients.
On May 13, 2008, Hewlett-Packard Co. confirmed that it had reached a deal with Electronic Data Systems to acquire the company for $13.9 billion.[2] The deal was completed on August 26, 2008. EDS became an HP business unit and was temporarily renamed "EDS, an HP company". Ronald A. Rittenmeyer, EDS Chairman, President, and CEO, remained at the helm and reported to HP CEO Mark Hurd until his retirement.[3]
As of 2008, EDS employed 139,000 people in 64 countries, the largest locations being the United States, India and the UK. It was ranked as one of the largest service companies on the Fortune 500 list with around 2,000 clients.
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