Xerox outsources management of data centers to India's HCL

Indian outsourcer HCL Technologies is to offer data center services to Xerox under a six-year contract.

The value of the contract is about $100 million, according to a source close to the situation.

Under the contract, HCL will run nine Xerox data centers in Europe and the U.S.

The services that HCL will offer these midrange data centers include business continuity, and disaster recovery, HCL said on Monday.

The Xerox contract is the third large remote infrastructure management contract bagged by HCL this year.

Last month, it nabbed a $350 million, seven-year outsourcing contract from The Reader's Digest Association for IT infrastructure management, application development and other services.

The company announced in January that it had won a five-year contract from Nokia for outsourced desktop management and help desk across 76 countries.

Infrastructure services accounted for 15.3 percent of HCL's revenue in the fourth quarter of last year.

A number of Indian outsourcers are targeting remote infrastructure management as the next big opportunity. These companies have been largely focused so far on application development and maintenance.

IDG