Sonata Software, an Indian IT services company based in Bengaluru, sees a surge in share price following a $73 million AI-driven contract win with a U.S. TMT company. The deal will lead to the creation of an AI-powered Modernisation Engineering Center in India.
Sonata Software, a leading Indian IT services company based in Bengaluru, saw its share price rise by 7% on April 28, following the announcement of a significant five-year, $73 million contract with a U.S.-based company in the technology, media, and telecom (TMT) sector.
At 1:10 AM, the company’s stock touched an intraday high of ₹364.70, marking an 11% rally in the past five trading sessions. The contract win is seen as a major milestone for Sonata, and the company announced plans to set up a dedicated AI-powered Modernisation Engineering Center in India as part of the deal.
AI-Focused Deal to Drive Digital Transformation
The multi-year partnership with the U.S.-based company aims to support its digital strategy by enhancing global scalability, accelerating innovation, and optimizing IT operations. The agreement includes a strategic, AI-first outsourcing approach that will be implemented through the new engineering center.
This is the second-largest deal in Sonata’s history and reflects our unique positioning as a partner for enterprises seeking deep modernization capabilities and AI-first transformation.”
Samir Dhir, Managing Director and CEO of Sonata Software
The AI-powered center will focus on platform engineering, cloud transformation with Amazon Cloud, enterprise systems like Salesforce and Workday, cybersecurity, data services, and modern application development, all powered by automation and scalable engineering practices.
Strategic Benefits for Both Parties
Sonata Software’s strategy will enable the client to achieve greater operational efficiency, accelerate innovation cycles, and enhance agility for scaling across regions, strengthening its position in a rapidly evolving industry.
This deal follows a cautious outlook shared by Sonata Software last week regarding its international business revenues for the March quarter. The company stated that revenue from its international operations is expected to fall short of earlier projections, primarily due to lower-than-expected revenue estimates from its largest client.
