Infosys, Liberty Global sign $1.64 bln deal to scale digital platforms (updated)

Liberty Global

15/08/2023 09:24

(Adds deal details, background throughout)
       BENGALURU, Aug 15 (Reuters) - Indian software services
exporter Infosys  INFY.NS  and Liberty Global  LBTYA.O  have
signed a 1.5 billion euro ($1.64 billion) agreement to evolve
and scale the communications firm's digital entertainment and
connectivity platforms, the companies said. 
    The 5-year agreement, which has an option to be extended to
8 years and beyond, will have Infosys taking over the operations
of the UK-headquartered company's entertainment and connectivity
platforms, with its AI offering Infosys Topaz, the companies
said in a joint statement on Tuesday.
    "This 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."
    Infosys will provide services worth 2.3 billion euros if the
contract is extended to 8 years, and the collaboration will
allow Liberty Global to realize run-rate savings in excess of
100 million euros per annum, according to the details outlined
in the statement. 
    The order comes at a time when curtailed client spending
amid macroeconomic uncertainties and recession fears have
prompted Indian IT service firms to project muted growth,
including Infosys, which in July, halved its full-year revenue
forecast. 
    Last month, Infosys signed a five year AI deal with $2
billion target spend with a client whose name it did not
disclose. 
    The Bengaluru-based IT services major has been in
partnership with Liberty Global's technology services platform
since February 2020. 
    
($1 = 0.9153 euros)

 (Reporting by Hritam Mukherjee in Bengaluru; Editing by Rashmi
Aich)
 ((Hritam.Mukherjee@thomsonreuters.com; Twitter:
@MukherjeeHritam;))