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HCLTech has landed one of the biggest IT deals of the year. The company has won a $1.14 billion contract from a Europe-based Fortune Global 50 company to build and manage an AI-powered digital workplace and enterprise network.
The deal will run from July 2026 to December 2031, with an option to extend it by another five years.
Why is this a big deal: this is the largest contract HCLTech has announced since its $2.1 billion Verizon deal in 2023. It also guarantees roughly $228 million in annual revenue, which could add around 1.6% to its FY27 growth.
This deal comes at a time when IT companies are facing slower demand. The rise of AI and automation has reduced the need for many traditional IT services, while global uncertainty has made companies more cautious about technology spending.
There's another interesting angle.
HCLTech has consistently stayed ahead of the AI curve.
According to CLSA, It was among the first Indian IT companies to warn that AI would put pressure on pricing, partnered with OpenAI early, disclosed revenue from advanced AI services before its peers, invested in Sarvam AI, and even chose not to penalise its sales teams for passing AI-driven productivity gains on to clients.
The deal also comes just days before HCLTech announces its Q1FY27 results on July 13. The company has guided for 1-4% revenue growth this financial year, and this contract could provide an early boost to that outlook.
