Wipro bags $500 mn deal from US communication services provider

IT services firm Wipro has won a $500 million deal from a leading US Communication Service Provider. Under the five-year long contract, Wipro will be offering managed services for some products and industry-specific solutions, the company said in an exchange filing on June 6.

This is touted as the first big deal bagged by the company after new chief executive officer Srinivas Pallia took office on April 6 after Thierry Delaporte stepped down. For the fourth quarterly results headed by Pallia for the first time, the company announced that its net profit fell by 8% to ₹2,835 crore for the fiscal fourth quarter, compared to the same period last year when it stood at ₹3,074 crore. Wipro's consolidated revenue saw a decline of 4.2%, amounting to ₹22,208 crore, down from ₹23,190 crore in the same period last year.

At the time, Pallia also announced a five-step plan to revive growth. The strategy includes – accelerating large deal momentum, strengthening relationship with large clients, focusing on industry specific profits and business commissions, talent acquisition, and simplifying operating model for fast execution. 

Pallia said, “We have the capabilities, leadership, and strength of over 230,000 Wiproites worldwide to help us achieve our goals. While there is still much work to be done, I am confident that together, with our collective effort, we can pave the way for the next chapter of growth.”

In April, Wipro signed a multi-million-dollar agreement with telecommunications major Nokia to overhaul the latter's employee service desk and offer real-time IT support to a global network of employees, in a multi-million dollar deal. Wipro team will build a bespoke AI-powered, cloud-based solution for Nokia's workforce comprising around 86,700 users globally in 130 countries of operations.