Wipro Infotech to manage IT for Pantaloon Retail
In a first of its kind domestic outsourcing deal, Wipro Infotech enters into a $50 mn outsourcing agreement for five years, reports Venkatesh Ganesh.Updated: Feb 14, 2008 21:01 IST
In a first of its kind domestic outsourcing deal in the retail sector, Wipro Infotech, a subsidiary of software major Wipro, has entered into a $50 million outsourcing agreement for five years with Kishore Biyani-promoted Pantaloon Retail. Wipro Infotech will manage the entire IT operations of Pantaloon's outlets, including rolling out and managing the IT operations across all outlets of Pantaloon.
Wipro will deliver comprehensive infrastructure management and application support services, managed security services and data centre hosting, operations & management services. Currently, Pantaloon Retail has about 1,000 outlets across 53 cities in India.
The deal goes beyond the existing contract to managing future IT needs of Pantaloon Retail as it expands across India. Kishore Biyani, Managing Director, Pantaloon Retail, said, "Technology is emerging as a core need in retail and we believe that it will offer a key differentiator as the retail sector gets more organised."
The Indian market, which has been the focus of global majors like IBM, Accenture and HP, has lately seen increased competition from Indian players like Wipro and TCS. In the recent quarter, Wipro Infotech recorded revenues of Rs 971.6 crore, a yearly growth of 39 per cent.
The company also bagged a deal from Central Railway Information System (CRIS), which involves setting up unreserved ticketing systems. Suresh Vaswani, president, Wipro Infotech & Global IT Practice, recently told Hindustan Times that Indian companies with global aspirations were now opening up to the concept of outsourcing and the huge opportunity it present.