Data#3 lands $12M Microsoft renewal with ATO

Laurence Baynham (Data#3)

Data#3 has landed a three-year Microsoft licensing renewal with the Australian Taxation Office (ATO) worth $12 million. 

According to the ATO, the contract will form a renewal of the department’s existing Microsoft mid-range server product software licenses.   

Data#3 was awarded the Microsoft renewal under the whole-of-Australian Government arrangements established by the Digital Transformation Agency (DTA), whereby the company serves as the vendor’s licensing solutions provider. 

In a statement to ARN, the ATO said there would be no deployment required and that nothing is being replaced with the licenses, “which are required to maintain existing software”. 

The announcement follows Data#3’s 2022 financial year, which revealed a revenue rise of 12.1 per cent to $2.2 billion. 

 According to the provider, public cloud revenue shot up 31.3 per cent to $1 billion, due to organisations and government departments migrating to cloud-based infrastructure. Its audited net profit before tax came in at $44 million, up 19.1 per cent. 

Speaking about the results, Data#3 CEO and managing director Laurence Baynham said the solution provider’s pipeline is continuing to experience a steady increase of large integration projects from corporate and public sector customers.