Tata Consultancy Services (TCS) announced a five-year strategic deal worth €1.25 billion with Porsche AG and MHP, marking a significant expansion of its partnership with the German luxury carmaker.
The deal follows TCS' acquisition of MHP Management- und IT-Beratung GmbH (MHP), and will take effect from the closing date of the acquisition, TCS said in a regulatory filing on Monday.
Under the agreement, Porsche will partner with MHP and TCS to industrialise artificial intelligence across its engineering, manufacturing, operations, customer experience and enterprise transformation initiatives.
Also read: TCS to acquire Porsche IT unit MHP for €320 million
The partnership will also focus on delivering next-generation automotive technology services and software-defined mobility platforms, as Porsche looks to deepen the use of digital technologies and AI across its business.
The five-year engagement is aimed at anchoring a long-term technology partnership between Porsche, MHP and TCS, the company said.
In a separate filing, Tata's IT firm announced the proposed acquisition of 100% of MHP from Porsche for an enterprise value of €320 million.
