Vodafone Idea (Vi) has entered into a strategic partnership with IBM to modernise its IT systems, strengthen operations, and accelerate digital initiatives by leveraging artificial intelligence (AI) and automation.
Moneycontrol had reported on March 25 that Vodafone Idea signed a multi-year IT outsourcing deal with IBM and Kyndryl after renegotiating terms. Valued at $500–600 million, the new contract is considerably smaller than the earlier $800-million agreement with IBM, which expired in April 2024. The cash-strapped telecom operator struck the revised deal as part of its broader cost-cutting efforts.
At the centre of the collaboration is an AI Innovation Hub, which will bring together experts from Vi and IBM Consulting to co-create AI solutions, automation tools, and digital accelerators. The Hub will work closely with Vi’s newly unified DevOps team to embed AI into development and operations, enabling faster software rollouts and improved service reliability.
Vi expects the partnership to shorten time-to-market, enhance resilience of its IT ecosystem, and deliver seamless digital experiences to its customers. “Our collaboration with IBM marks a pivotal milestone in Vi’s digital journey. It reflects our commitment to AI-led innovation and our ambition to drive accelerated growth through intelligent decision-making and automation,” said Jagbir Singh, Chief Technology Officer, Vodafone Idea Limited.
Through IBM Consulting’s expertise in AI, DevOps, and its global partner ecosystem, Vi aims to sharpen IT agility, improve customer experiences, and unlock new revenue opportunities.
Juhi McClelland, Managing Partner, IBM Consulting, IBM Asia Pacific, said the partnership comes at a crucial time for India’s telecom sector, which is undergoing rapid digital transformation alongside 5G rollouts. “Vi’s AI Innovation Hub is a testament to the power of co-creation, where IBM consultants can provide best practices and support efforts to build a future-ready digital foundation powered by AI and automation,” she added.
Rishi Aurora, Managing Partner, IBM Consulting India & South Asia, said the collaboration extends the companies’ 17-year relationship and aims to “redefine how AI and automation can transform telecom operations at scale.”
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