Liberty Global, Infosys join forces in €1.5bn deal on digital platforms
In the latest tech alliance, Liberty Global, a key player in video, broadband, and communications, is deepening its ties with digital services giant Infosys. This significant step builds on their existing collaboration from February 2020. Infosys is set to shoulder the responsibility for the creation and operations of Liberty Global’s acclaimed Horizon entertainment and connectivity platforms. This move also incorporates advanced Infosys tech, including the pioneering Infosys Topaz AI offering. The result? Enhanced operational performance, a powerful engine for introducing novel features, and cost efficiencies for Liberty Global.
The partnership is inked initially for five years but has provisions to stretch to eight years or even further. This venture promises services worth a staggering €1.5 billion over the first five years, escalating to €2.3 billion if extended to eight years. Financially, this means Liberty Global stands to save over €100 million annually, factoring in additional savings and tech investments.
Licensing and Intellectual Property Rights
An intriguing element of this collaboration sees Liberty Global granting licensing rights to Infosys. This allows Infosys to extend its unparalleled services to fresh operators and markets, beyond the Liberty Global spectrum. The Horizon platform’s potential will now be tapped into by a broader audience, providing next-gen digital entertainment and connectivity to millions globally. However, Liberty Global remains at the helm of product directions and holds on to all intellectual property concerning the Horizon platforms.
Impacts on Liberty Global’s Workforce
The collaboration’s ripple effect reaches Liberty Global’s workforce as well. Over 400 of its employees are poised for transitions to Infosys, tapping into its global influence and vast reach. Notably, several senior executives and technology teams from various Liberty Global units are set to move to Infosys, paving the way for enriched career prospects, global exposure, and more significant growth.
Leadership’s Take on the Expanded Collaboration
Mike Fries, the driving force at Liberty Global, emphasized the enhanced scalability their solutions will achieve. Fries spotlighted the dual benefits: substantial central cost savings and unparalleled growth opportunities for talent under Infosys’ expansive umbrella. Similarly, Salil Parekh of Infosys highlighted the groundbreaking potential of their joint venture in reshaping the global entertainment landscape.
However, it’s essential to note that this collaboration awaits the green light from regulatory bodies and pertinent Works Councils.