The federal government agencies have selected Verizon Business to provide secure on-demand cloud computing services. The service requires provision of server, network and storage capacity.

Under a blanket purchase agreement that is valued at as much as $76.5 million over five years, Verizon (News - Alert) Business was among awardees selected by the GSA to negotiate with government agencies and provide services. With the help of a cloud computing platform that will help fundamentally change the way the U.S. government delivers IT services, the company will provide infrastructure as a service offerings.

Federal Network Systems LLC (FNS), a Verizon company, specializes in bringing the experience and expertise of the world’s largest telecommunications and network services providers to the government environment. With commercial speed and best practices, FNS delivers reliability and comprehensive lifecycle support to the Intelligence Community, DOD, and civilian government agencies.

“The Verizon on-demand cloud computing platform will help federal government customers maintain availability of critical systems and offer a way to transition to a service-based cost model where customers pay only for resources used, enabling agencies to conduct business more effectively by getting what they need, when they need it and where they need it," said Susan Zeleniak, group president of Verizon Federal, in a press release.

Verizon Business (News - Alert) helps agencies meet virtualization and data center consolidation requirements. Verizon can manage, in real time, the capacity, security, performance and availability of infrastructure and applications for the agencies served by converging computing and networking resources. Government agencies can gain considerable flexibility in how they consume IT resources while achieving better economies, greater agility and broader access to information with the cloud, Verizon stated.

In March 2010, the company announced that it will create and manage an integrated “borderless enterprise” solution for Aon Corp., a global provider of risk management services, insurance and reinsurance brokerage and human capital consulting. The solution will help consolidate Aon’s regional network operations spanning 120 countries into a single global communications and IT platform. Owing to the solution, Aon Corp., will be able to more effectively conduct business.