Infosys signs 5-year AI deal with $2 billion target spend

By India Today Business DeskInfosys, India’s second-largest software services exporter, has announced a significant deal with an undisclosed client to provide artificial intelligence (AI) and automation services over the next five years.

The agreement, estimated to have a target spend of $2 billion, encompasses AI and automation-related development, modernization, and maintenance services.

The client’s identity remains undisclosed, but Infosys emphasised the inclusion of AI and automation services in the exchange filing.

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This strategic move by Infosys reflects the growing trend of companies worldwide increasing their investments in AI, sparked by the success of Microsoft-backed OpenAI’s generative chatbot ChatGPT in late 2022.

This development follows the recent announcement by rival Tata Consultancy Services (TCS), which revealed plans to train 25,000 engineers for certification on Microsoft’s Azure Open AI.

Another competitor, Wipro, also intends to invest $1 billion in AI over the next three years, showcasing the industry’s strong focus on harnessing the potential of AI technologies.

In late May, Bengaluru-based Infosys unveiled Infosys Topaz, an innovative platform dedicated to generative AI. This platform aligns with Infosys’ strategic vision to advance AI capabilities and deliver cutting-edge solutions to its clients.

As the market eagerly awaits Infosys’ first-quarter results, scheduled for release on July 20, this substantial AI deal further positions the company as a key player in the rapidly evolving AI landscape.

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