IT major Tech Mahindra and Cloud major VMware on Tuesday announced a collaboration to jointly develop, market, and deliver solutions to accelerate network transformation for Communication Service Providers (CSPs).
Through this expanded relationship, the companies will combine VMware's production-proven, 5G and OpenStack ready network functions virtualisation (NFV) platform with Tech Mahindra's Network Services to help global CSPs accelerate new service delivery, open new market opportunities and improve IT and business economics.
"This strategic partnership brings together Tech Mahindra's Digital Transformation expertise and VMware's innovative Cloud computing and network virtualisation portfolio to address emerging technology areas such as 5G, Internet of Things (IoT) and rich multimedia," Manish Vyas, President Communications Business and Chief Executive, Network Services, said in a statement.
The solutions are based on a software-defined and distributed micro datacentre architecture and will reduce network infrastructure costs.
"By building on our robust and agile Network Functions Virtualization infrastructure, VMware and Tech Mahindra will equip service providers to deliver innovative and secure hybrid cloud and IoT solutions, creating new revenue streams while, driving down costs and improving overall customer satisfaction," Shekar Ayyar, Executive Vice President and General Manager, Telco Group at VMware, added.
Tech Mahindra will work with VMware to enable IoT solutions on the VMware vCloud NFV platform to extend secure, scalable and highly services to health service providers, manufacturing companies among others.
Tech Mahindra also recently announced that it will acquire 17.5 per cent stake in US-based telecom software development company Altiostar Networks for $15 million in a cash deal, marking its investment into the nascent but promising and fast-growing virtualised Radio Access Networks space.
This comes after the IT major reported a sharp recovery in profitability in the quarter gone by. It also increased its margins to the pre-March 2017 levels and reported an increase of 1.8% in earnings before interest and tax (EBIT) over the previous quarter to 12.8%.