HCLTech Lands $1.14 Billion AI Services Deal With Major European Enterprise

According to Reuters, which first reported the development in an article by its Bengaluru newsroom on July 3, the agreement is valued at approximately $1.14 billion and centers on artificial intelligence-led digital transformation services. HCLTech did not identify the customer, describing it only as a major European Fortune Global 50 enterprise.

The announcement was welcomed by investors, with HCLTech shares climbing more than 6% during trading after the company disclosed the contract. The broader Nifty IT index also advanced, reflecting positive sentiment across India’s technology outsourcing sector following news of the deal. According to Reuters, the contract underscores the company’s ability to secure large, long-term international engagements despite a cautious spending environment in parts of the global technology market.

HCLTech said the partnership will focus on AI-enabled transformation initiatives designed to modernize technology operations and support the client’s long-term digital strategy. The company has not released additional commercial details, including the duration of the agreement or the specific services to be delivered.

Several Indian media outlets, citing unnamed sources familiar with the matter, have reported that the unidentified customer is likely Mercedes-Benz. However, neither HCLTech nor the automaker has publicly confirmed the client’s identity.

The agreement adds to a series of large outsourcing and digital transformation contracts won by major Indian technology companies as multinational corporations continue investing in cloud computing, automation and generative AI capabilities. HCLTech, headquartered in Noida, is among India’s largest information technology services providers, employing more than 220,000 people and serving clients across more than 60 countries.