Why HCLTech Shares Are Up 3% Today

HCL Technologies Ltd shares were surging on early Friday after the IT services company announced that they secured a massive $2.1 billion (₹17,400 crore) deal with Verizon Business for managed network services. HCLTech expects this deal to boost its revenue over the next six years, starting in November 2023.

What does that mean? Verizon Business has chosen HCLTech as its main partner for Managed Network Services (MNS) in all its global enterprise customer network deployments. This collaboration will merge Verizon’s networking strength and scale with HCLTech’s top-tier Managed Service capabilities, aiming to revolutionize wireline service delivery for enterprise customers.

While Verizon Business will spearhead customer acquisition, sales, and overall planning, HCLTech will take charge of post-sale implementation and ongoing support. To ensure seamless collaboration, some Verizon Business Global Customer Operations staff will join HCLTech.

Kyle Malady, Verizon Business’s CEO, praised HCLTech’s expertise in Managed Network Services. He believes that with HCLTech’s support, Verizon Business can enhance its service delivery and focus on introducing next-gen technology to its customers.

The partnership promises customers an elite MNS portfolio, a digitized experience, improved efficiency, and a comprehensive partner ecosystem. C Vijayakumar, HCLTech’s CEO, expressed pride in teaming up with Verizon Business, emphasizing their commitment to leading MNS in all Verizon’s network endeavours.

Price Action: HCL Technologies shares were trading 3.07% higher at ₹1,169 shortly after market open on Friday.

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