Microsoft, others seek to get paid for sales to failed bank

Microsoft and others have filed motions indicating they hope to be paid for products or services supplied to failed bank Washington Mutual.

Microsoft got in line with several other organizations that are taking steps to get paid for products and services provided to Washington Mutual, the largest bank to fail in U.S. history.

On Tuesday, Microsoft filed a document with the Delaware bankruptcy court handling the WaMu case asking to be sent copies of all proceedings in the case.

"Microsoft filed a notice of appearance because we have existing contracts for software licenses and consulting services with Washington Mutual and we want to make sure those contracts are properly administered through the bankruptcy process," said David Bowermaster, a Microsoft spokesman, in an e-mailed statement.

Microsoft would not describe the size or duration of its contracts with WaMu. The bank is a beta tester and early user of its products, and last year a WaMu executive joined Microsoft Chairman Bill Gates on stage at a launch event for Windows Vista, Office 2007 and Exchange 2007.

Microsoft isn't alone in its efforts. On Tuesday Siemens filed a motion asking that JP Morgan, which is taking over WaMu, either reject or assume an IT services contract it has with the bank, worth US$5 million to $6 million each month. Siemens said it had supplied about $10 million worth of IT services to WaMu that have not been paid for. Siemens has about 400 employees and contractors providing services to the bank, it said.

And Tata Consultancy Services, the Indian outsourcing and IT services company, filed a motion similar to Microsoft's asking to be kept apprised of proceedings.

Government regulators seized WaMu in late September and let other companies bid to take over the bank. JP Morgan had the winning bid. The economic crisis in the U.S., driven in part by a housing slump, hit WaMu particularly hard because it was one of the country's biggest providers of home mortgages, including risky loans.

Amid the troubles in the financial sector, many analysts say that the surviving financial organizations will still need to rely heavily on technology, so IT vendors may not be hit too hard by banking failures. While the wider economic meltdown is sure to slow IT spending overall, many analysts still say that they expect most of the big vendors to be able to weather the storm.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Nancy Gohring

IDG News Service
Show Comments

Father’s Day Gift Guide

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?