Last updated: 23 Dec, 2020 | 10:49 am
Infosys has announced a billion dollar deal with Daimler AG, to drive hybrid-cloud powered innovation and IT infrastructure overhaul. While the company has not disclosed the amount, media reports estimate that the deal is worth $3.2 billion, spread over eight years.
What does the deal win mean for Infosys?
Performance in previous quarter
In the previous quarter, Infosys was able to beat expectations due to its record high deal wins, and cost cuts to maintain its revenue and operational profitability. Large deal wins during the quarter stood at $3.15 billion—higher than the $1.74 billion worth of deals it won in the previous three months of (Apr-Jun).
The Covid-19 pandemic has forced a tectonic shift in businesses processes to move towards greater digitization. This has helped the IT sector to bounce back faster than other industries. Infosys said that the relevance of its is resonating with its clients in these times. The growth in Q2FY21 has improved visibility for the rest of the year for Infosys. The company is also confident of further expanding its revenues and margins going forward.