Tech Major Infosys Signs $1.64 Billion Deal With Liberty Global; Know Details

Infosys, which is the second-largest IT company in India, has signed a five-year agreement worth $1.64 billion to evolve and scale the communications firm's digital entertainment and connectivity platforms.

Both the companies have entered into an agreement for five years, with the provision to extend to 8 years and beyond. The tech behemoth will provide services to Liberty Global estimated at €1.5 billion over the initial 5-year term and at € 2.3 billion if the contract is extended to 8 years, the companies said in a joint statement on Tuesday.

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The collaboration allows Liberty Global to realize run-rate savings in excess of 100 million euros per annum, inclusive of other savings and technology investments, it added.

“We are excited to bring Infosys Topaz™ to enable transformative AI-first capabilities to complement the cloud-first digital foundation we have laid for Liberty Global using Infosys Cobalt. This will unveil a new chapter in our joint journey of innovation as we reimagine entertainment and the connectivity experience for millions of global consumers," said Salil Parekh, CEO & MD, Infosys.

The companies will jointly expand the program, with Infosys taking over build and operations of Liberty Global's Horizon entertainment and connectivity platforms. 

Liberty Global will license these platforms to Infosys so the digital services provider can offer best-in-class services to new operators and new markets outside the Liberty Global family, which will potentially enable millions of new customers, around the world, to experience next-generation digital entertainment and connectivity services through Horizon for the first time.

However, Liberty Global will continue to control product roadmaps and retain all intellectual property for the Horizon entertainment and connectivity platforms, as per the release.

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As per the deal signed between the two companies, senior executives and technology teams from Liberty Global's Product, Technology Development Service Delivery Group, Network & Shared Operations and Security Groups will transition to Infosys. 

They will also play an important role in shaping the future of Infosys' communications, media and entertainment business and add significantly to its engineering capabilities, the release added.