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Nokia Siemens, TCS ink R&D deal

Posted: 04 Mar 2008     Print Version  Bookmark and Share

Keywords:R&D agreement  product engineering  business software business 

An R&D agreement has been forged between Nokia Siemens Networks and Tata Consultancy Services. Nokia Siemens Networks will transfer some product engineering and R&D services and parts of its operations and software business unit to TCS.

The reassigned parts belong to the Nokia Siemens Networks development centre in Dusseldorf, Germany, including 90 employees who will be transferred to TCS as part of this engagement.

With this agreement Nokia Siemens Networks and TCS will create an efficient set-up whereby TCS will provide global R&D services to Nokia Siemens Networks by leveraging its expertise in the telecommunications sector. The transfer of R&D capabilities to trusted business partners such as TCS is part of Nokia Siemens Networks' overall strategy to realise synergy savings.

Advantages gained
"For many years, Tata Consultancy Services has been a valuable partner to Nokia and Siemens, our parent companies. TCS brings to the table an in-depth experience in outsourcing projects and a proven track record of successfully transferring and integrating customers' R&D personnel. This deal provides the employees in Dusseldorf with an excellent opportunity to work with international teams in a global company," says Juhani Hintikka, head of the operations and business software business unit of Nokia Siemens Networks.

"The agreement with Nokia Siemens Networks reiterates TCS' capability to enhance customers' business by leveraging our superior R&D services and strong domain. As the R&D partner for Nokia Siemens Networks, TCS will share its innovative approaches, global best practices and benchmark standards to ensure excellence. The new regional delivery centre for telecommunications customers in Dusseldorf—where the transferred employees will work—is strategic to us, as Germany is a key European market", said N. Chandrasekaran, chief operating officer and executive director of TCS.

Analyst's view
"With its strong domain expertise, the worldwide delivery structures based on the company's proprietary Global Network Delivery Model and its strategic alliance partners, TCS is well-placed as a strong competitor in Europe. The integration of Nokia Siemens Networks employees would establish TCS' local presence and strengthen its position as a global player. This is especially important in Germany where brand recognition is key," said Graham Pascoe, partner with the analyst house PriceWaterhouseCooper Advisory.

Working towards its vision of 500 crore people connected by 2015, Nokia Siemens Networks puts innovation and R&D at the top of its agenda. Working with R&D providers like TCS enhances Nokia Siemens Networks' ability to deliver new, exciting and profitable services to their customers.

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