Infosys faces termination of $1.5 billion AI deal | Know the reason
In September, Infosys entered a 15-year, USD 1.5 billion deal with an undisclosed global client focusing on artificial intelligence solutions. The unexpected termination was announced on Saturday when the global client chose to discontinue the Memorandum of Understanding (MoU). By the time of writing, there had been no certain reason mentioned for the early disclosure.
Master Agreement Scrapped
The initial agreement which came into existence in September was dependent on the parties which were entering a Master Agreement. Later, both companies decided not to pursue the Master Agreement.
Official company statement
In an exchange filing, Infosys mentioned, “This is in continuation to the disclosure made by Infosys vide letter dated September 14, 2023, titled ‘Company update’ with respect to a Memorandum of Understanding with a global company which was subject to parties entering into a Master Agreement.”
Impact on Digital Experiences
The termination of the deal has aimed to deliver an enhanced digital experience from Infosys to the global client, by utilising its platforms and AI solutions.
Recent Business Ventures
Despite this setback, Infosys has recently inked a USD 1.64 billion deal with Liberty Global, a London-based company, that existed for five years.
Financial Outlook
As Infosys prepares to unveil its December earnings on January 11, the company has highlighted winning the deals which were worth $7.7 billion in the September quarter.
ALSO READ: Layoff at ShareChat: 200 employees go jobless as the company streamline its cost base
Inputs from IANS
Latest Technology News
In September, Infosys entered a 15-year, USD 1.5 billion deal with an undisclosed global client focusing on artificial intelligence solutions. The unexpected termination was announced on Saturday when the global client chose to discontinue the Memorandum of Understanding (MoU). By the time of writing, there had been no certain reason mentioned for the early disclosure.
Master Agreement Scrapped
The initial agreement which came into existence in September was dependent on the parties which were entering a Master Agreement. Later, both companies decided not to pursue the Master Agreement.
Official company statement
In an exchange filing, Infosys mentioned, “This is in continuation to the disclosure made by Infosys vide letter dated September 14, 2023, titled ‘Company update’ with respect to a Memorandum of Understanding with a global company which was subject to parties entering into a Master Agreement.”
Impact on Digital Experiences
The termination of the deal has aimed to deliver an enhanced digital experience from Infosys to the global client, by utilising its platforms and AI solutions.
Recent Business Ventures
Despite this setback, Infosys has recently inked a USD 1.64 billion deal with Liberty Global, a London-based company, that existed for five years.
Financial Outlook
As Infosys prepares to unveil its December earnings on January 11, the company has highlighted winning the deals which were worth $7.7 billion in the September quarter.
ALSO READ: Layoff at ShareChat: 200 employees go jobless as the company streamline its cost base
Inputs from IANS
Latest Technology News
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