Wipro, Tech Mahindra eyeing $1 bn contract

MUMBAI, INDIA: Indian software firms Wipro and Tech Mahindra are in talks with New Zealand's Telecom Corp for an outsourcing contract potentially worth up to $1 billion, the Economic Times newspaper reported on Tuesday.

The Indian firms are competing with IBM and Hewlett-Packard  to bag the infrastructure management contract, which is due to expire later this year.

"We are in early stages of reviewing our partnership arrangements and as such have asked several vendors to present us with options to review," Telecom's spokesman told the paper.

Officials at Wipro and Tech Mahindra could not be immediately reached for comment.

Global deals worth between $10 billion to $12 billion annually, due to expire in 2010, are to be renegotiated, according to outsourcing advisory firm TPI, the paper said.

(As a reader, who, do you think, will win this contract? Will Wipro clinch it? Key in your valuable comments below in the comment box)