HCL Technologies Ltd has entered into a five-year agreement valued at $1.14 billion with Mercedes-Benz, marking the end of a three-year period without major contracts for the Indian IT services provider. The deal involves managing IT procurement and establishing an AI-driven operating model for the German automaker’s global digital workplace and enterprise networks.
According to three individuals familiar with the arrangement, the contract includes supplying hardware to Mercedes-Benz employees and providing software connections for laptops and servers. This work was previously handled by Infosys Ltd. The agreement is expected to generate $228 million in annual revenue for HCLTech, contributing approximately 1.6% growth to its fiscal year 2027 results.
In a press release dated July 3, HCLTech described the arrangement as a significant strategic partnership with a Fortune Global 50 firm headquartered in Europe. The company stated it would transform and manage the client’s global digital workplace and enterprise networks but did not explicitly name Mercedes-Benz in the announcement.
HCLTech, based in Noida, is India’s third-largest IT services company. The firm’s entry into this contract breaks a drought of mega-deals that had lasted for three years. The specific details regarding the transition of services from Infosys to HCLTech were not provided in the available information.
Further details about the scope of the AI-driven operating model or the specific timeline for implementation remain unclear. The financial impact on Mercedes-Benz or the broader IT services sector was not discussed in the source material.
