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!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
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

Cool Tech

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Breitling Superocean Heritage Chronographe 44

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?