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In 1958, fewer than 4,000 computers
existed in the world. Manufacturers rarely included software
with their computers, so the early machines were concentrated
in large organizations, such as aerospace companies, universities
and government—the only entities with the resources to
write the software to make these machines work.
1960s 1970s 1980s 1990s Present  |
The
Pioneers: Roy Nutt and Fletcher Jones
Two young computer analysts working in the aerospace industry
saw the opportunity for a new kind of business. They set
out to provide computer manufacturers with complex programs
known as assemblers, compilers and operating systems, to
make it easier to use the computers, thereby expanding the
potential markets for the products. Roy Nutt was a stellar
programmer, who had developed the first widely accepted assembly
program and was a member of the small IBM team that developed
Fortran. Fletcher Jones, a marketing whiz, came from North
American Aviation Corp., where he had managed a divisional
computer center.
A Hundred Dollars and a Dream:
CSC Is Born
In April 1959, four decades of pioneering, exploration and
innovation got off the ground when Nutt and Jones pooled
$100 to start a company that they named Computer Sciences
Corporation. With Nutt providing the technical direction
and Jones handling the marketing, the young company prospered,
quickly gaining a reputation for innovative design and high-quality
work. Through work for numerous computer manufacturers and
other large computer users, CSC developed more systems software
than any other computer services company in the industry.
- In
1961 a contract to support NASA Jet Propulsion Laboratory’s
Flight Operations Facility launched CSC into the space
business.
- CSC
went public in 1963 and was listed the following year
on the Pacific and American stock exchanges, becoming
the first software company to be listed on a national
exchange.
The 1960s:
Focus on the Federal Government
By 1964, annual revenues totaled $4 million and employees
numbered 230. At this point, the founders—joined by
William R. Hoover, who would eventually become CSC's chairman
and CEO—decided to expand CSC's markets by serving
users, rather than the manufacturers of computers.
Recognizing that the U.S. federal government was the largest
computer user, and anticipating the convergence of computers
and communications, CSC bought two ITT divisions engaged
in communications systems engineering and systems management
for the U.S. Defense Communications Agency and other
clients. The acquisition gave CSC extensive capabilities
in the design and development of communications-based
computer systems. The company quickly became a major
supplier of IT services, a leading integrator of computer
and communications systems and a premier developer of
custom software. It also became, and remains today, one
of the largest computer services companies in the U.S.
federal government market.
- In 1965 CSC captured a U.S. Atomic
Energy Commission contract from General Electric, a company
1,000 times larger than CSC.
- The next year, CSC took on global
competition, introducing software development skills
to the European marketplace.
- In 1968 CSC became the first independent
information services company to be listed on the New
York Stock Exchange.
By the end of the 1960s, CSC had a presence in Canada, Italy,
Germany, the United Kingdom and The Netherlands.
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The 1970s: Consolidation and Expansion
In the early 1970s, CSC created an innovative computer time-sharing
network in association with the Department of Defense. Called
Infonet, the network allowed hundreds of clients at different
sites to run their jobs simultaneously on the same computer.
By mid-decade, Infonet was a 100,000-mile network serving
125 cities and nearly every U.S. government agency.
- In
1972 CSC was awarded its first contract with the U.S.
Federal Aviation Administration to provide software support
to the agency's Digital Simulation Facility.
- In
1977 AT&T selected CSC’s network to serve Bell
System units across the United States.
- The
following year, CSC won the California Medicaid contract,
the largest contract the State of California had ever
awarded.
Having
successfully navigated two tumultuous decades with steady
growth in both the commercial and government sectors,
CSC was ready to face the 1980s.
The
1980s: Aggressive Growth, Focus on Results
Dramatic growth and major acquisition activity marked the
1980s, as CSC saw new commercial markets emerging for its
services worldwide. The company initiated an aggressive
acquisition program to supplement internal growth, acquiring
more than 200 large and small companies to strengthen its
presence in the U.S., European and Australian markets.
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In
the 1980s, CSC built Europe’s first automated
teller machine system for Générale de
Banque; automated the United Kingdom’s tax withholding
system; developed a back-office banking system for
the Australian and New Zealand Banking Group; and automated
the railroad management system for the Bureau des Wagons
EUROP.
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CSC
engineers at Edwards Air Force Base designed and built
a sophisticated flight-testing system for the world’s
most advanced airplane: the B-2 stealth bomber.
In
1982, CSC launched a strategic acquisitions program to
dramatically widen our presence in the credit services
industry, acquiring more than a dozen credit bureaus
over six years and combining databases with Equifax Inc.
to create the largest national credit file in the United
States.
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In
1986 CSC expanded its activities in the commercial
consulting and professional services market.
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In
1988 CSC's acquisition of Index Group established the
company in the commercial management consulting arena.
At the end of the 1980s, CSC was a major player in the commercial
marketplace. The company continued to retain its leadership
in the U.S. government market, winning 90 percent of all recompeted
government business and many large, new contracts.
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The
1990s: Leading the World in Outsourcing
The early 1990s marked CSC's entrance into the IT outsourcing
market with the award of a $3 billion contract from General
Dynamics—one of the first and largest outsourcing awards
in the industry.
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In
1994 CSC signed a 10-year outsourcing agreement with
British Aerospace (now BAE Systems).
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In
1995 CSC signed a $1.5 billion partnership with Hughes
Electronics Corporation.
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In
1996 CSC signed a $3 billion agreement with DuPont,
a contract The New York Times called "among
the largest in the computer outsourcing trend that
has swept American industry in the 1990s."
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In
1998 the U.S. Internal Revenue Service selected the
CSC PRIME Alliance, a team of seven companies, to modernize
U.S. tax systems over a 15-year period.
CSC’s
global reach and industry presence grew through continued
acquisitions throughout this decade, including Ploenzke
AG, Ouroumoff Consultants and Continuum.
By the end of the 1990s, CSC had changed the perception that
outsourcing was a last resort for financially troubled companies.
Since then, the company has expanded its outsourcing offerings
to include Web and application hosting as well as business
process outsourcing in a wide array of industries.

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CSC
Today: Building on Experience to Produce Results
In an evolving IT services market the only thing certain is change.
Yet, during CSC's nearly 50-year history, one constant has remained:
CSC's focus on using technology to develop the most innovative and
practical solutions that deliver results.
CSC has grown from two men, $100 and a dream to the ranks of the Fortune
500 by offering clients a wealth of experience and an unparalleled scope
of services across numerous industries worldwide.
Renewed relationships with clients continue to be a driving force behind
CSC's success. Trust is paramount in long-term and renewed service contracts
with General Dynamics, a leading defense electronics supplier; aerospace and
defense giant BAE Systems; and DuPont, one of the world's most innovative
science corporations.
Major acquisition activity to expand competencies and industry
expertise continues. In 2003, CSC's acquisition of DynCorp expanded our federal employee base
by more than 20,000 and broadened the scope of our service offerings to the U.S. federal
government. Most recently, our 2007 acquisition of Covansys strengthened our presence in
India by nearly 8,000 employees.
Meanwhile, new opportunities to earn trust develop every day with our new clients
Swiss Re, NASA Shared Services, Zurich Financial Services and the U.K. National
Health Service. CSC is also expanding across the globe into dynamic, growing markets
like India and China and as a sponsor of Team CSC, one of the most successful professional
cycling franchises in history.
Read The
CSC Story (3.1MB).
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