The second-largest IT firm in India, Infosys, has announced that it has signed a five-year contract for billions of dollars with the European telecom and communications business Liberty Global. The contract is worth €1.5 billion (or $1.64 billion) during the first engagement phase. The agreement is an expansion of the initial partnership they agreed to in February 2020. The initial contract between the companies is for a period of five years, with an option for an additional eight or more years. The overall contract value will increase to €2.3 billion (about $2.5 billion) if the agreement is extended to 8 years.
The development and management of Liberty Global’s Horizon entertainment and connectivity platforms will be handled by Infosys. According to a BSE exchange filing, the Bengaluru-based company also intends to expand its Topaz AI capabilities. According to the partnership, Liberty Global will save over €100 million annually, including other cost savings and technological investments.
To enable Infosys to provide best-in-class services to additional operators and markets outside the Liberty Global family, Liberty Global is licensing these platforms to Infosys. According to the firm, this will make it possible for millions of users to access digital entertainment and connection services through Horizon. For the Horizon entertainment and connectivity platforms, Liberty Global will continue to be in charge of the product roadmaps and hold onto all intellectual property. 400 employees of Liberty will join Infosys Senior executives and technical teams from Liberty Global’s Product, technical Development Service Delivery Group, Network & Shared Operations, and Security Groups will transfer to Infosys in accordance with the terms of the business agreements.
In the recent months, Infosys has announced three sizable deals. In June, Nordic-based Danske Bank awarded Infosys a five-year, $454 million contract for the digital transformation of the bank. Technically, Liberty’s agreement trumps Infosys’ $1.5 billion, five-year contract with the world’s largest energy company, which was the latter’s largest deal in the previous three years.
“We are eager to provide Infosys Topaz to Liberty Global to complement the cloud-first digital platform we have established for Liberty Global utilizing Infosys Cobalt by enabling breakthrough AI-first capabilities. As we rethink entertainment and the connectivity experience for millions of global consumers, this will open a new chapter in our shared path of innovation, according to Salil Parekh, chief executive of Infosys. “The power of our international operations will also aid in the company’s ability to scale across markets. We look forward to building on Liberty Global’s confidence in us as we get ready to welcome fresh talent and teams of innovators to Infosys,” he continued.
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