Infosys announced late on July 17 that it has acquired a contract for development, modernization, and maintenance services driven by AI and automation from an existing client. The contract is expected to cost $2 billion over the course of five years. This is not a $2 billion new agreement for Infosys; rather, it is the closing of an old one. The client’s identity was kept a secret by the business.

The agreement intends to offer development, modernization, and maintenance services driven by AI and automation.

“Infosys has entered into framework agreement with one of its existing strategic clients to provide AI and automation-led development, modernization and maintenance services. The total client target spend over 5 years is estimated at USD 2 Bn,” Infosys said.

The company has so far this year announced two significant agreements: a $454 million agreement with Danske Bank and a $1.5 billion agreement with the British oil and gas company bp.

It also occurs at a time when the business’s competitors have issued warnings about uncertainty, slow or declining growth, and rampdowns, just days before the company is scheduled to release its financial results for the first quarter of FY24 on July 20. Infosys is anticipated to announce modest growth for the quarter, but will still outperform its competitors that experienced degrowth.

For FY24, the big IT company has predicted revenue growth of 4–7% in constant terms and an operating margin of 20–22%.

This landmark agreement, at a stunning $2 billion, was reached by Infosys. The supply of services including automation and artificial intelligence is the main focus of this five-year contract. In order to maintain their position at the forefront of technological advancement, Infosys is prepared to provide a wide range of AI-related development, modernization, and maintenance services.