Cognizant vs Infosys: Indian Tech Giant Faces US Lawsuit Over Alleged Theft of Trade Secrets
The suit alleges that Infosys unlawfully accessed and utilized confidential information from Cognizant’s healthcare insurance software. Cognizant, headquartered in New Jersey with 70% of its workforce in India, claims Infosys used this data to develop competing software.
Cognizant accuses Infosys of creating a product called “Test Cases for Facets” by improperly reusing its software data and extracting information from another Cognizant product, QNXT. Infosys has firmly denied the allegations and vowed to contest the lawsuit in court.
Cognizant is seeking financial compensation and a court order to prevent Infosys from using its trade secrets. This lawsuit follows a similar legal battle with Atos’ Syntel in 2020, where Cognizant initially secured $854 million, though the award was later reduced and overturned on appeal.
The case, titled Cognizant TriZetto Software Group Inc vs Infosys Ltd, is being heard in the U.S. District Court for the Northern District of Texas.
Tensions between the two tech giants have escalated, especially after Cognizant recently appointed Rajesh Warrier, a former Infosys executive, as its new Chairman and Managing Director. Additionally, Cognizant’s current CEO, Ravi Kumar, has close ties to Infosys, adding further fuel to the rivalry. The conflict is further complicated by a previous incident where Infosys accused Cognizant of unfairly poaching its employees.
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