Latest news with #PhilFersht
Time of India
08-07-2025
- Business
- Time of India
Inside Capgemini's $3 billion deal for WNS: All you need to know
French IT services major Capgemini is keen on building its business process outsourcing (BPO) muscle with its latest acquisition: domain leader WNS . The deal, announced on Monday, will see the two companies pool their capabilities to address the growing enterprise demand for advanced, automated however, remain over the prospects. Analysts and investors are worried about the impact of artificial intelligence (AI) on the BPO sector, and the subsequent hit on revenue from the vertical. Capgemini shares reflected these worries during yesterday's take a look at the bones of the deal, and it's likely implications:Capgemini had agreed to pay $76.5 for each WNS share, which amounts to $3.3 billion (about Rs 28,280 crore) in cash. This is 17% higher than the closing price of the shares on July 3. They rallied 14% on IT major has secured bridge financing of €4 billion to pay this sum, as well as meet some other obligations. It will refinance the bridge with €1 billion cash and the rest through debt boards of both companies have consented to the deal, which now awaits approval from WNS shareholders and regulators. It is expected to be closed by the end of expects the acquisition to immediately boost its revenue and margins, projecting a 4% rise in earnings per share (EPS) in 2026 and 7% the year after. It sees projected revenue synergies between €100–140 million ($117.8–164.9 million), and an annual pretax run rate for cost and operating model synergies of between 50 million and 70 million euros by the end of WNS's $1.3 billion in revenue will be a drop in Capgemini's $25.5 billion business. It will, however, raise the headcount of the combined entity by a whopping 19%—an indication of the manual nature of WNS's deal comes at a time when enterprises are looking to replace people-intensive business operations with AI-driven solutions for lower costs and efficient execution. Pure-play BPO companies lack the technical knowhow to address this demand, according to HFS Research founder Phil Fersht. That is a gap the Capgemini-WNS combine can capitalise on.'By combining consulting, technology, and domain-driven BPO, Capgemini + WNS has the potential to lead AI-powered business transformation, with a robust incumbent WNS client base hungry to replace full-time equivalents (FTEs) with technology solutions,' he combined entity could compete on an equal footing with Accenture, and outcompete the Big 4 of consulting — PwC, EY, KPMG and Deloitte, Fersht noted."From a competitive perspective, another potential big win for Capgemini is its new positioning against the Big 4, which have traditionally dominated consulting and technology services. With WNS's operational expertise integrated into its offerings, Capgemini could deliver end-to-end transformation services that the Big 4 cannot – and at lower price points," the analyst analysts, and investors, are worried about the impact generative AI could have on the BPO sector, which Capgemini is looking to tap, noted brokerage house Morgan bear case is that AI would transform BPO from a people-intensive business to one that is much more highly automated and managed by software, the brokerage noted. This could lead to a fall in BPO revenues and expose incumbent vendors to competition from new entrants, it BPO space with generative AI is an opportunity that investors might favour, but there needs to be evidence that WNS is the right vehicle for such a change, Morgan Stanley while WNS is unlikely to prove transformational for Capgemini's business, the acquisition cost will weigh on the IT major's balance sheet for a couple of by British Airways in 1996 as a captive unit, WNS offers BPO and data analytics services to blue-chip clients, including Coca-Cola, T-Mobile, United Airlines, Aviva, British Gas, Virgin Atlantic Airways, M&T Bank, Centrica and McCain serves over 700 clients with a 64,000-strong workforce operating in 13 countries through 64 delivery reported a better-than-expected but marginal 0.6% drop in revenue at $1.31 billion for fiscal year 2025, with an 18.7% operating margin. Profit increased slightly to $170.1 million, from $147.5 million the previous year. Revenue has grown by around 9% in constant currency terms, on average, over the last three fiscal years. It also acquired for $63.4 million in the March quarter to expand its capabilities in data, analytics, and AI.
Economic Times
23-06-2025
- Business
- Economic Times
IT's Europe deal momentum is up after three slow quarters
Agencies Representative Image As the largest technology outsourcing market — the US — navigates through the trade and policy uncertainties, deal activity has seen increased traction from Europe after three slow industry analysts have seen an approximately 5% rise in European deals from the previous quarter even as the US market remained flat at 2% growth, as per US-based research firm HFS Group. Publicly India's largest IT giant Tata Consultancy Services (TCS) alone signed at least six deals in Europe since March — telecom tower operator Vantage Towers, France's Schneider Electric Marathon de Paris, Netherlands-based multi-service utility provider Hanab, Council of Europe Development Bank, Denmark-based retailer Salling Group, and UK-based airline Virgin Atlantic. Second largest company Infosys partnered with Allied Irish Banks, UK's Yorkshire Building Society while immediate rival HCLTech bagged an engineering services deal with Swedish truck maker Volvo. Smaller peers L&T Technology Services and Tata Elxsi signed a €50 million deal each with undisclosed European auto manufacturers. Even as Wipro has indicated a softer outlook in Europe, it appointed a new CEO for its European strategic unit. This, at a time when the US corporates are pausing or cancelling existing projects, amid rising cost pressures due to the tariff impact weighing on them along with the constant change in the trade policies. 'We are seeing some gradual pick-up in the UK, Benelux, and Germany after three very slow quarters in Europe. Some enterprises are openly talking about transformation to better align with the uncertain trade environment and address legacy issues like cloud migration and cybersecurity,' said Phil Fersht, founder and chief analyst at advisory firm HFS Group. After a slowness of 17 deals signed in Europe from October to December 2024, the momentum picked up to 30 in January to March quarter 2025, as shown by BNP Paribas data based on publicly available key large deals. In April and May, 14 deals were signed without accounting for the month of June. In comparison, deal signings in US stood at 11 and 12 in December and March quarter, respectively while April and May saw five deals. As per data services platform ISG, Europe saw the value of deals jump to $4.08 billion January to March 2025, up from $3.4 billion in December quarter and $3.5 billion in January to March Jain, founder and CEO of India-based IT research firm EIIR Trend, highlighted that, European auto companies, which signed three deals in the whole of 2024, have signed at least five deals so far this year, with still half a year to go. 'The reason is that European auto companies want to reduce costs while investing in SDVs (software defined vehicles). They need external support from engineering service providers at competitive prices. So, they are looking at Indian engineering service providers.'They are making faster decisions compared to US auto companies, which are struggling with greater uncertainty and lack of policy clarity, Jain the pandemic, the Indian outsourcing leaders have also been increasing their acquisitions to nearly a dozen in Europe, where the pace of revenue expansion has dented growth owing to business companies such as TCS, KPIT Technologies also opened technology and delivery centres in European countries to accelerate the offerings in the region.'The supply chain and competitive pressures will help Indian companies take more share,' said KPIT Technologies MD and CEO Kishor to experts, cost optimisation opportunities in Europe especially in auto, manufacturing and BFSI are likely to see uptick in the ongoing fiscal year 2026. In a post-results conference in April, Infosys CEO Salil Parekh said the company has made several investments and scaled up in different geographies in Europe. 'So that is a good market for us. With the changes in the environment, we will sort of see what develops.' Its chief financial officer said Europe grew 3x of the company rate at 15% in constant currency terms driven by our focused approach of client mining, ramp-up of large deals and acquisitions. Besides Europe, other regions which showed growth, according to Fersht, are Middle East at around 5% with a smaller base. Meanwhile, Asia Pacific witnessed a decline of around 1-2%.The US contributes around 40-50% of the revenues for Indian IT majors, followed by Europe constituting about 20-30% of the more-than-$280 billion market of software services exported by India. For the January to March quarter, Europe's revenues at top eight firms continued to outgrow American region with a growth of 2.8% year-on-year and 1% sequentially as compared to Americas degrowth at (-0.1)% YoY and (-2.1)% sequentially, as per a recent Kotak Institutional Equities report.
Time of India
23-06-2025
- Business
- Time of India
IT's Europe deal momentum is up after three slow quarters
As the largest technology outsourcing market — the US — navigates through the trade and policy uncertainties, deal activity has seen increased traction from Europe after three slow quarters. IT industry analysts have seen an approximately 5% rise in European deals from the previous quarter even as the US market remained flat at 2% growth, as per US-based research firm HFS Group. Publicly India's largest IT giant Tata Consultancy Services (TCS) alone signed at least six deals in Europe since March — telecom tower operator Vantage Towers, France's Schneider Electric Marathon de Paris, Netherlands-based multi-service utility provider Hanab, Council of Europe Development Bank, Denmark-based retailer Salling Group, and UK-based airline Virgin Atlantic. Second largest company Infosys partnered with Allied Irish Banks, UK's Yorkshire Building Society while immediate rival HCLTech bagged an engineering services deal with Swedish truck maker Volvo. Smaller peers L&T Technology Services and Tata Elxsi signed a €50 million deal each with undisclosed European auto manufacturers. Even as Wipro has indicated a softer outlook in Europe, it appointed a new CEO for its European strategic unit. ETtech Live Events This, at a time when the US corporates are pausing or cancelling existing projects, amid rising cost pressures due to the tariff impact weighing on them along with the constant change in the trade policies. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories 'We are seeing some gradual pick-up in the UK, Benelux, and Germany after three very slow quarters in Europe. Some enterprises are openly talking about transformation to better align with the uncertain trade environment and address legacy issues like cloud migration and cybersecurity,' said Phil Fersht, founder and chief analyst at advisory firm HFS Group. After a slowness of 17 deals signed in Europe from October to December 2024, the momentum picked up to 30 in January to March quarter 2025, as shown by BNP Paribas data based on publicly available key large deals. In April and May, 14 deals were signed without accounting for the month of June. In comparison, deal signings in US stood at 11 and 12 in December and March quarter, respectively while April and May saw five deals. As per data services platform ISG, Europe saw the value of deals jump to $4.08 billion January to March 2025, up from $3.4 billion in December quarter and $3.5 billion in January to March 2024. Pareekh Jain, founder and CEO of India-based IT research firm EIIR Trend, highlighted that, European auto companies, which signed three deals in the whole of 2024, have signed at least five deals so far this year, with still half a year to go. 'The reason is that European auto companies want to reduce costs while investing in SDVs (software defined vehicles). They need external support from engineering service providers at competitive prices. So, they are looking at Indian engineering service providers.' They are making faster decisions compared to US auto companies, which are struggling with greater uncertainty and lack of policy clarity, Jain added. Since the pandemic, the Indian outsourcing leaders have also been increasing their acquisitions to nearly a dozen in Europe, where the pace of revenue expansion has dented growth owing to business slowdown. Further, companies such as TCS, KPIT Technologies also opened technology and delivery centres in European countries to accelerate the offerings in the region. 'The supply chain and competitive pressures will help Indian companies take more share,' said KPIT Technologies MD and CEO Kishor Patil. According to experts, cost optimisation opportunities in Europe especially in auto, manufacturing and BFSI are likely to see uptick in the ongoing fiscal year 2026. In a post-results conference in April, Infosys CEO Salil Parekh said the company has made several investments and scaled up in different geographies in Europe. 'So that is a good market for us. With the changes in the environment, we will sort of see what develops.' Its chief financial officer said Europe grew 3x of the company rate at 15% in constant currency terms driven by our focused approach of client mining, ramp-up of large deals and acquisitions. Besides Europe, other regions which showed growth, according to Fersht, are Middle East at around 5% with a smaller base. Meanwhile, Asia Pacific witnessed a decline of around 1-2%. The US contributes around 40-50% of the revenues for Indian IT majors, followed by Europe constituting about 20-30% of the more-than-$280 billion market of software services exported by India. For the January to March quarter, Europe's revenues at top eight firms continued to outgrow American region with a growth of 2.8% year-on-year and 1% sequentially as compared to Americas degrowth at (-0.1)% YoY and (-2.1)% sequentially, as per a recent Kotak Institutional Equities report.
Channel Post MEA
30-05-2025
- Business
- Channel Post MEA
Infosys Launches Agentic AI Foundry
Infosys has announced the launch of Infosys Agentic AI Foundry, a comprehensive solution designed to accelerate the development and deployment of reliable production-grade AI agents. The Agentic AI Foundry, part of Infosys Topaz™, provides enterprises a strategic roadmap to adopt AI agents responsibly and ethically, while ensuring a future-ready architecture that accommodates advancements in AI technology. It enables seamless integration of AI agents across business, operations, and IT ecosystems, driving faster decisions, improved customer experiences, and higher operational efficiency. Infosys Agentic AI Foundry brings together a comprehensive collection of reusable components, including a growing repository of pre-built horizontal and vertical agents, that will enable organizations to discover, shortlist, develop, deploy, monitor, and measure AI-driven initiatives effectively. Enterprises will be able to integrate these agents into any in-house or third-party platforms, ensuring accelerated implementation of AI solutions. The Agentic AI Foundry also allows organizations to build agents and customize pre-built agents to be adopted in their enterprise context. With an open architecture that avoids technology lock-in, the Foundry provides a clear and ethical pathway for enterprises to adopt AI while staying future-ready for advancements in the field. Additionally, its interoperability and cost-efficiency make it a sustainable investment for enterprises looking to scale their AI capabilities responsibly. Infosys Agentic AI Foundry will aim to transform enterprises across industries, enabling them to take business critical decisions and helping them increase productivity exponentially. For a technology major, Infosys deployed a continuous learning deep research agent that delivers comprehensive product insights in seconds, reducing support resolution times by up to 50 percent and enhancing CSAT by 24 percent. Similarly, for a leading service company, the AI agents automated complex audit processes, including transaction sampling, document collection and review, enhancing financial record integrity. Infosys is embodying its AI-first approach by integrating Agentic AI into its own operations to drive efficiency, innovation, and cost-effectiveness. For example, the deployment of a multi-agent invoice automation solution within its finance team has streamlined processes by improving productivity by over 50 percent along with delivering significant cost savings and operational efficiency. Phil Fersht, Chief Executive Officer and Chief Analyst, HFS Research, said, 'The line between human capabilities and AI-powered software is rapidly blurring and its impact on IT and business services is going to be profound. Infosys' approach to Agentic AI is a critical move to support enterprises under increasing pressure to embed these capabilities into their employee and customer experiences.' Balakrishna D. R. (Bali), Executive Vice President, Global Services Head, AI and Industry Verticals, Infosys, said, 'At Infosys, we believe the future of innovation lies in harnessing the power of AI responsibly and effectively. Infosys Agentic AI Foundry is a game-changer in enterprise transformation, providing a clear, ethical, and future-ready pathway to harness AI's full potential. By seamlessly integrating AI agents across ecosystems, we are enabling businesses to innovate faster, operate smarter, and lead with purpose in an evolving digital world.' 0 0
Cision Canada
28-05-2025
- Business
- Cision Canada
Infosys Launches Agentic AI Foundry, Part of Infosys Topaz™, to Accelerate Enterprise AI Journey
Tailored to develop and deploy enterprise AI agents at scale, the Foundry aims to transform businesses with reliable and responsible innovation BENGALURU, India, May 28, 2025 /CNW/ -- Infosys (NSE: INFY) (BSE: INFY) (NYSE: INFY), a global leader in next-generation digital services and consulting, today announced the launch of Infosys Agentic AI Foundry, a comprehensive solution designed to accelerate the development and deployment of reliable production-grade AI agents. The Agentic AI Foundry, part of Infosys Topaz™, provides enterprises a strategic roadmap to adopt AI agents responsibly and ethically, while ensuring a future-ready architecture that accommodates advancements in AI technology. It enables seamless integration of AI agents across business, operations, and IT ecosystems, driving faster decisions, improved customer experiences, and higher operational efficiency. Infosys Agentic AI Foundry brings together a comprehensive collection of reusable components, including a growing repository of pre-built horizontal and vertical agents, that will enable organizations to discover, shortlist, develop, deploy, monitor, and measure AI-driven initiatives effectively. Enterprises will be able to integrate these agents into any in-house or third-party platforms, ensuring accelerated implementation of AI solutions. The Agentic AI Foundry also allows organizations to build agents and customize pre-built agents to be adopted in their enterprise context. With an open architecture that avoids technology lock-in, the Foundry provides a clear and ethical pathway for enterprises to adopt AI while staying future-ready for advancements in the field. Additionally, its interoperability and cost-efficiency make it a sustainable investment for enterprises looking to scale their AI capabilities responsibly. Infosys Agentic AI Foundry will aim to transform enterprises across industries, enabling them to take business critical decisions and helping them increase productivity exponentially. For a technology major, Infosys deployed a continuous learning deep research agent that delivers comprehensive product insights in seconds, reducing support resolution times by up to 50 percent and enhancing CSAT by 24 percent. Similarly, for a leading service company, the AI agents automated complex audit processes, including transaction sampling, document collection and review, enhancing financial record integrity. Infosys is embodying its AI-first approach by integrating Agentic AI into its own operations to drive efficiency, innovation, and cost-effectiveness. For example, the deployment of a multi-agent invoice automation solution within its finance team has streamlined processes by improving productivity by over 50 percent along with delivering significant cost savings and operational efficiency. Phil Fersht, Chief Executive Officer and Chief Analyst, HFS Research, said, "The line between human capabilities and AI-powered software is rapidly blurring and its impact on IT and business services is going to be profound. Infosys' approach to Agentic AI is a critical move to support enterprises under increasing pressure to embed these capabilities into their employee and customer experiences." Balakrishna D. R. (Bali), Executive Vice President, Global Services Head, AI and Industry Verticals, Infosys, said, "At Infosys, we believe the future of innovation lies in harnessing the power of AI responsibly and effectively. Infosys Agentic AI Foundry is a game-changer in enterprise transformation, providing a clear, ethical, and future-ready pathway to harness AI's full potential. By seamlessly integrating AI agents across ecosystems, we are enabling businesses to innovate faster, operate smarter, and lead with purpose in an evolving digital world." About Infosys Infosys is a global leader in next-generation digital services and consulting. Over 300,000 of our people work to amplify human potential and create the next opportunity for people, businesses and communities. We enable clients in more than 56 countries to navigate their digital transformation. With over four decades of experience in managing the systems and workings of global enterprises, we expertly steer clients, as they navigate their digital transformation powered by cloud and AI. We enable them with an AI-first core, empower the business with agile digital at scale and drive continuous improvement with always-on learning through the transfer of digital skills, expertise, and ideas from our innovation ecosystem. We are deeply committed to being a well-governed, environmentally sustainable organization where diverse talent thrives in an inclusive workplace. Visit to see how Infosys (NSE, BSE, NYSE: INFY) can help your enterprise navigate your next. Safe Harbor Certain statements in this release concerning our future growth prospects, or our future financial or operating performance, are forward-looking statements intended to qualify for the 'safe harbor' under the Private Securities Litigation Reform Act of 1995, which involve a number of risks and uncertainties that could cause actual results or outcomes to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding the execution of our business strategy, increased competition for talent, our ability to attract and retain personnel, increase in wages, investments to reskill our employees, our ability to effectively implement a hybrid work model, economic uncertainties and geo-political situations, technological disruptions and innovations such as Generative AI, the complex and evolving regulatory landscape including immigration regulation changes, our ESG vision, our capital allocation policy and expectations concerning our market position, future operations, margins, profitability, liquidity, capital resources, our corporate actions including acquisitions, and cybersecurity matters. Important factors that may cause actual results or outcomes to differ from those implied by the forward-looking statements are discussed in more detail in our US Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2024. These filings are available at Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the Company's filings with the Securities and Exchange Commission and our reports to shareholders. The Company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the Company unless it is required by law.
