Key Highlights
- HCLTech signs agreement to acquire Hewlett Packard Enterprise’s Telco Solutions business.
- Total deal value up to USD 160 million including USD 15 million performance-linked incentives.
- Nearly 1,500 telecom and engineering specialists across 39 countries to join HCLTech.
- Acquisition strengthens HCLTech’s AI-led, cloud-native and 5G network capabilities.
- Transaction expected to close within six months subject to regulatory approvals.
HCL Technologies Limited (HCLTech) has announced the signing of a definitive agreement to acquire the Telco Solutions business from Hewlett Packard Enterprise (HPE), reinforcing its strategic focus on engineering-led and AI-driven network solutions for global communication service providers.
The transaction, valued at up to USD 160 million, includes USD 15 million linked to performance milestones. The acquisition is structured as an asset carve-out and will be executed entirely through cash consideration. It follows HCLTech’s earlier acquisition of select assets from HPE’s Communications Technology Group in 2024, which have since been integrated into its telecom portfolio.
HPE’s Telco Solutions business supports over one billion devices across more than 200 deployments worldwide. Its offerings include Operations Support Systems, Home Subscriber Server, 5G Subscriber Data Management and AI-led closed-loop network automation, enabling telecom operators to improve efficiency and network monetisation.
As part of the agreement, approximately 1,500 telecom and engineering specialists from 39 countries will transition to HCLTech, expanding its global delivery and research capabilities. The acquisition is expected to accelerate HCLTech’s initiatives in network transformation, Network as a Service, autonomous networking and AI-native telecom platforms.
The transaction is subject to customary regulatory approvals across multiple jurisdictions and is expected to close within six months from the date of signing. With this acquisition, HCLTech aims to deepen long-term partnerships with global communication service providers and strengthen its position in AI-led, cloud-native telecom solutions.