Xchanging head of comms Alistair Lamb said he would use agencies on a project basis from 2006,citing rapid business growth.
The move is a blow to Cubitt, which took over the running of
the account, believed to be worth at least £150,000, last year (PRWeek, 12 November 2004).
It also breaks a three-year relationship between Cubitt and Lamb, who used the agency for two years when he was RebusIS marketing director.
Xchanging bought RebusIS in February 2004 from venture capital firm Warburg Pincus, creating a global group with 1,800 staff.
Lamb said Xchanging's PR department would be expanded with extra managers in London, Frankfurt and Delhi.
The Delhi PR manager will also handle comms for Xchanging's one-person office in Australia.
'We cannot sustain an agency in every region,' Lamb said, adding that Xchanging could hire a retained agency in the longer term.