Microsoft Corporation, the multinational computer technology giant, has awarded a three-year outsourcing contract to Infosys Technologies, the second largest Indian software exporter and BPO service providers in terms of revenue. As per the terms of agreement, Infosys would make the implementation processes more efficient, make the support and services simpler and, simultaneously, reducing the project costs utilizing the most up-to-date solutions of Microsoft like Windows 7.

Infosys will administer Microsoft’s international IT services, comprising IT infrastructure and application support, desk-side services and helpdesk in as many as 450 locations in 104 countries from its different international centers. Although neither party has revealed the financial details regarding the deal, it is estimated that the contract would be to the tune of $100 million. A statement issued by the Indian IT major on Wednesday said that the firm will set up an exclusive Service Excellence Office with a view to assist Microsoft in the implementation of ITSM and ISO 20000 Processes.

Quoting Sanjay Jalona, vice-president and head of manufacture for North America, a TV news website states that the new deal will provide Infosys the opportunity administer Microsoft’s internal IT adding prestigious client to its profile. In addition, it will also give the Indian IT major the acumen to use the most recent technologies from the leading software multinational. Infosys will manage IT services for Microsoft employees worldwide. The deal is expected to be a fall-out of Microsoft’s observation that the Indian IT major is gaining from the merging of facilities that were earlier outsourced to HP as well as other clients. It may be mentioned here that Infosys Technologies has already collaborated with Unisys to offer worldwide service desk and desk-side support.

Meanwhile, another leading Indian news website remarks that Microsoft has been on a cost reduction drive for some time now owing to declining sales in a number of major departments of the global software giant. The company plans to lay-off around 5000 employees by the middle of the current year with a view to save $1.5 million every year. However, it is still not certain whether the deal with Infosys will result in more lay-offs at Microsoft.