HCL Tech gets $1.3bn renewal deal from Xerox

HCL Technologies has signed $ 1.3 billion renewal contract with Xerox to manage part of its shared services, including global administrative and support functions and other tech-enabled operations.

The incremental contract would be for a period of seven years, said HCL Tech in a press release.

Xerox has been a customer of HCL Tech since 2009 and the relationship started with product engineering and support services. The company said, “Leveraging HCL's global scale and capabilities, Xerox will strategically evolve its shared services into process-first, technology-led digital operations.”

As part of the existing agreement, HCL manages Xerox's mechanical, electrical and software engineering activities for printer and imaging product lines. Together, HCL and Xerox have delivered 215 US patents and have created R&D labs that are integrated with Xerox infrastructure and standards.

The agreement between HCL and Xerox will also see a group of Xerox employees being transferred to HCL, subject to compliance with European works council consultation and employment regulatory requirements. C. Vijayakumar, President and CEO, HCL Tech, said: “This expanded partnership is a testament to the strong Xerox-HCL relationship that has grown through multiple collaborations over the past 10 years.

“Xerox will benefit from our global scale, best-in-class processes and investments in artificial intelligence, robotic process automation and transformation tools, and HCL will benefit from a long-term agreement to provide product support and administrative services to Xerox.”