Infosys revealed on Saturday the termination of a significant Memorandum of Understanding (MoU) involving a $1.5 billion deal centered on artificial intelligence (AI) solutions, initiated with a global client. This 15-year agreement, inked back in September with an undisclosed client, has been unexpectedly terminated, although no specific reasons were provided for this decision. The initial agreement was contingent upon both parties finalizing a Master Agreement, which will no longer be pursued.
The company clarified this development in an exchange filing, continuing from their earlier disclosure on September 14, 2023, regarding the Memorandum of Understanding. Infosys expressed that the global client has chosen to discontinue the MoU, signaling the cessation of efforts towards the Master Agreement. Initially, the collaboration aimed to leverage Infosys' platforms and AI solutions to deliver advanced digital experiences to the global client.
In recent times, Infosys secured a separate deal worth $1.64 billion with Liberty Global, based in London, spanning a five-year duration. These developments come ahead of Infosys' upcoming disclosure of their December quarter earnings, scheduled for January 11. Notably, in the September quarter, Infosys clinched deals totaling $7.7 billion, underlining the company's ongoing efforts in securing substantial contracts within the technology solutions domain.
(With Agency Inputs)
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