HCLTech Acquires Telco Solutions Business from HPE for $160M

HCL Technologies announces its acquisition of Hewlett Packard Enterprise's Telco Solutions Business for up to USD 160 million. The deal aims to bolster HCLTech's engineering and AI capabilities, expanding its telecom industry offerings. The acquisition is expected to close in six months, contingent on regulatory approvals.

HCL Technologies is set to acquire the Telco Solutions Business of Hewlett Packard Enterprise, a deal valued at up to USD 160 million. This acquisition is poised to enhance HCLTech's engineering and AI-oriented network services directed at global Communication Service Providers (CSPs).

The transaction includes USD 15 million of performance incentives linked to FY25 goals. A prior transaction in 2024 enabled HCLTech to gain intellectual property and extend its relationships with top CSPs. This strategic move increases the company's foothold in telecom through advanced AI-led and cloud-native solutions.

Approximately 1,500 specialists from HPE will join HCLTech's global operations following regulatory approval expected within six months. Anil Ganjoo of HCLTech highlights the importance of this acquisition in transforming CSPs into tech-oriented companies, aiming for enhanced, IP-led services and exponential growth.

(With inputs from agencies.)