HCLTech Wins $1.14 Billion AI Deal With Fortune Global 50 Company, Shares Jump 5%

HCL Technologies has won one of the biggest contracts announced by an Indian information technology (IT) company this year.

According to media reports, the company has secured a $1.14 billion deal from Mercedes-Benz to modernise the German carmaker's digital workplace and enterprise network operations using an artificial intelligence (AI)-driven model. The contract was previously managed by Infosys, according to people familiar with the matter.

The contract will run from July 2026 to December 2031. It also includes an option to extend it by another five years.

The announcement lifted investor sentiment. HCLTech shares rose as much as 5.68% to an intraday high of ₹1,139.31 at 2:47 PM on Friday. Even so, the stock remains down 34% so far this year.

In its regulatory filing, HCLTech did not name the client, citing confidentiality. It described the customer only as a Europe-headquartered Fortune Global 50 company.

What HCLTech Will Do

Under the agreement, HCLTech will build and operate an artificial intelligence-driven operating model to transform and manage the client's global digital workplace and enterprise network infrastructure.

The deal reflects the shift from AI pilots to AI embedded directly into core enterprise IT operations at scale.

A Busy Quarter For Deals

The Mercedes-Benz contract caps a period of significant activity for HCLTech across partnerships, acquisitions and investments:

• Signed a long-term strategic agreement with Finnish renewable energy company Neste for AI-led IT transformation.

• Partnered with Nokia to develop autonomous telecom network optimisation using AI-driven applications.

• Joined hands with Circles and GreySkies for AI-powered telecom software solutions

• Completed the acquisition of business intelligence platform Jaspersoft from Cloud Software Group.

• Invested ₹1,427 crore to acquire a 10.46% stake in Indian artificial intelligence startup Sarvam AI as part of its $234 million Series B round.

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Financial Context

HCLTech reported Q4FY26 net profit of ₹4,488 crore, up 4.2% year-on-year, with revenue rising 12% to ₹33,981 crore. Advanced AI revenue reached $155 million in the quarter, up 6.1% sequentially in constant currency.

The company has guided for FY27 revenue growth of 1% to 4% in constant currency with an earnings before interest and tax margin of 17.5% to 18.5%.