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Infosys (INFY) to Enhance Mobile Health's Go-To-Market Strategy

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Shares of Infosys (INFY - Free Report) rallied 4.7% on Wednesday after the company announced a major digital transformation deal with Swiss health-tech start-up Mobile Health AG. Under this partnership, the India-based IT consulting giant will help Mobile Health enhance its go-to-market strategy for the latter’s electronically patient-reported outcomes (ePRO) platform, Consilium Care.

The Swiss health-tech start-up’s Consilium Care helps improve the outcome for patients, who are undergoing cancer treatment through remote monitoring facilities. According to the deal, Infosys will help Mobile Health Consilium Care through Microsoft’s (MSFT - Free Report) Azure by using its strong domain expertise and experience in oncology.

Under this engagement, the company “will set up and manage cloud and infrastructure services and support, security and monitoring, and platform management services for Mobile Health AG across multiple geographies,” Infosys stated in its press release.

Digital Transformation: A Key Driver

Infosys has been attempting to reinforce its digital transformation capabilities for expanding and solidifying the company’s position in the highly competitive environment.

The company is enabling its clients across more than 45 countries to create and execute strategies for their digital transformation.

We note that Infosys is looking to build a strong team of digital specialists in order to cater to clients across all verticals whose key theme is digital transformation. Reportedly, Infosys has built solutions, driven by AI and machine learning, to digitize the data supply chain.

International Data Corporation expects to spend on technologies and services that enable the digital transformation of business practices, products and organizations to reach $1.3 trillion in 2020.

Moreover, the coronavirus pandemic has opened up opportunities for several businesses. Businesses can now work on digital experience. This is boosting the digital transformation market. Per a Grand View Research report, the global digital transformation market size is expected to see a CAGR of 22.5% from 2020 to 2027 and reach $1392.91 billion.

We, therefore, believe the company’s initiatives in this regard will prove to be very beneficial to its top line in the upcoming period.

Infosys Rides on Alliance Efforts

Infosys has been strengthening its core competencies by pursuing collaborations and acquisitions. The company’s alliance strategy is targeted at teaming up with leading technology providers, which allow it to cash in on the emerging technologies in a mutually-advantageous and cost-competitive manner.

In order to boost the digital, cloud, legacy modernization, and automation businesses, Infosys has cemented tie-ups with Google, Adobe, Microsoft, Amazon Web Services and salesforce.com.

We believe such efforts in the digital-transformation business will boost the company’s position to compete with its rivals like Accenture (ACN - Free Report) and Cognizant (CTSH - Free Report) .

Infosys currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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