HCL bags $350 mn Readers’ Digest dealhttps://indianexpress.com/article/news-archive/web/hcl-bags-350-mn-readers-digest-deal/

HCL bags $350 mn Readers’ Digest deal

HCL has won an outsourcing contract worth $350 million over seven years from Reader's Digest.

Software exporter HCL Technologies on Monday said it has bagged a 350-million-dollar IT outsourcing services deal from media and marketing house Readers Digest Association.

As part of the engagement,HCL Technologies would provide application development and infrastructure support across the application stack of Oracle,open technologies,main frame,infrastructure support for network,security,storage,end user computing and data centres,HCL said in a statement.

HCL would also take a number of RDA employees on its rolls,as per the seven-year deal.

The deal comes amid the Indian IT industry struggling to clinch big outsourcing deals due to the current global financial crisis.

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RDA Senior Vice President for Global Operations (IT and Business Redesign) Al Perruzza said,”IT is a key enabler to our business. We expect that HCL will bring down cost of operations significantly,while improving services and bringing technology and capabilities to transform our IT functionality and service.”

On the sourcing side,HCL would be taking over several existing IT contracts from RDA and would manage them over the engagement period.

“RDA partnership is a unique service offering in which HCL blends all its outsourcing strengths applications and infrastructure capabilities,industry knowledge,and global reach,to help RDA achieve fundamental transformation at the enterprise level” HCL Technologies Corporate Vice President Sanjeev Nikore said.