Wipro to Buy Ericsson R&D Centers in India

Wipro Ltd has announced that it had signed a letter of intent to acquire software development resources, including software professionals, relating to Ericsson’s Indian R&D Centers in Bangalore, Hyderabad and New Delhi. Concurrently, Ericsson and Wipro signed a letter of intent for the purchase of Consultancy Services from Wipro. Commenting on the transaction, Dr. AL Rao, President Telecom & Internetworking group, Wipro Technologies, said, "Our leadership in R&D outsourcing to global customers is reinforced with the signing of a letter of intent for one of the first total R&D outsourcing deal in India. Our flexible and innovative business model enhances value to our clients through customized solutions. This is a key element of the strategic partnership that we have with Ericsson.” “Ericsson has identified India as an important outsourcing location. Wipro’s technical depth and quality leadership make it the ideal long term partner to Ericsson for software development,” said Jan Campbell, Managing Director, Ericsson India Pvt Ltd. Completion of the transaction based on the letter of intent is subject to the completion of due diligence, negotiation and execution of definitive agreements and receipt of customary required approvals.