Post the announcement of the acquisition, Dell, in an internal email to its employees, said: “We expect that NTT Data will continue the employment of Dell Services’ team members. Future plans to integrate Dell Services into the NTT Data business will be phased, and will be discussed in detail when the transaction closes.”
This comes in the backdrop of concerns over whether Dell Services, which has a sizeable talent pool servicing clients in the US, will lay off employees as a part of the overall deal.
The email that Dell sent out internally stated that the acquisition is to complement and round out their capabilities in this space, not to break it up. The transaction is expected to close later this year. Before the acquisition, NTT Data had approximately 10,000 employees across India. Dell does not give its employee break up in India. Suresh Vaswani, Head of Dell Services, in an email assured employees that because certain operations and support functions of Dell Services are intertwined with those of Dell, it has also agreed to provide transitional support for key back office functions, including IT, human resources, finance, accounting, and facilities, until such time as NTT DATA can establish its own support operations for these areas.
Dell services has got government contracts in areas of healthcare IT services and US government departments such as NASA, Homeland Security , amongst others in areas such as IT infrastructure management and cloud computing. Globally, NTT Data has around 80,000 employees, counts Mercedes Benz Turkey, Mercedes-Benz Turkey, as some of its customers and provides technology-related outsourcing services.