Mazda Motor Corp. has reached a basic agreement with IBM Japan Ltd. on a 50 billion yen contract to outsource its information system operations to the computer giant, the automaker announced Thursday.

Under the agreement, Mazda Motor, based in Fuchu, Hiroshima Prefecture, will outsource its information system operations, excluding research and development, to IBM Global Services Japan Chugoku Solutions Co., a company to be established by IBM Japan next month.

Mazda Motor will transfer 165 employees from its information system division and 165 employees from Mazda C&T Co., its information system subsidiary, to the new firm.

IBM Japan will transfer 20 employees to the new firm, which is to be created Nov. 4 and start operations Dec. 1.

By outsourcing the information system division, the automaker expects to both reduce costs by about 5 billion yen and receive more sophisticated services, according to a Mazda spokesman.

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