HCLTech, a prominent global technology firm, finalized a deal to acquire HPE's Telco Solutions division, further enhancing its leading market position in the telecommunications sector.

After a previous deal with HPE in 2024, HCLTech will, under this new acquisition agreement, additionally acquire industry-leading intellectual property (IP), product engineering and R&D expertise, as well as client connections with major global Communication Service Providers (CSPs).

Telco Solutions enables over 1 billion devices via its solutions, spanning more than 200 deployments worldwide. It allows Operations Support Systems (OSS), Home Subscriber Server (HSS), and 5G Subscriber Data Management (SDM) to utilize advanced AI-driven closed-loop network automation for effortless network monetization.

Telco Solutions was previously a segment of HPE's Communications Technology Group (CTG), from which HCLTech obtained specific assets in 2024. The formerly obtained CTG portfolio—which includes Business Support Systems (BSS), network applications, service cloudification, and data intelligence—has been effectively integrated and is currently expanding.

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HCLTech will utilize this enhanced capability to expedite network transformation, Network as a Service (NaaS), and AI-driven autonomous networking. Under this agreement, approximately 1,500 engineering and telecommunications experts from 39 nations will become part of HCLTech's global delivery team to assist in expanding the business.

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Anil Ganjoo, chief growth officer and global head of telecom, media, publishing & entertainment and technology (TMT) at HCLTech says, "We are very excited about the opportunity ahead, as HCLTech is uniquely positioned to empower CSPs to realize their transformation into true technology companies—advancing the shift from telcos to techcos. Integrating this highly skilled HPE team and their market-proven IP strengthens our product-aligned model and accelerates our shift toward higher-value, IP-led services and non-linear growth."

Rami Rahim, executive vice president, president and general manager, Networking, HPE says, "HCLTech has a compelling vision for enabling CSPs that will harness the Telco Solutions business's momentum and track record of customer success to further accelerate innovation and customer impact. This transaction will yield benefits for CSPs for many years to come, as both HPE and HCLTech pursue their unique, differentiated approaches to supporting this vital sector of the market, through strategic focus and commitment to innovation."

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This transaction is subject to regulatory approvals and other customary closing conditions and is expected to close in approximately six months.