Cognizant sues Infosys over alleged theft of trade secrets
Cognizant, a leading information technology (IT) firm, has filed a lawsuit against Infosys in a US federal court. The legal action was initiated by TriZetto, which is a subsidiary of Cognizant. The company alleges that Infosys stole trade secrets and confidential information, pertaining to its healthcare insurance software. However, Infosys has categorically denied these allegations in an official statement.
What did the lawsuit say?
The lawsuit, filed in a Texas court, accuses Infosys of illegally accessing data from TriZetto's software- Facets and QNXT. Healthcare insurance firms use them to automate tasks. Cognizant alleges this information was used by Infosys to develop and market a competing product. The firm claims that Infosys misused TriZetto's software to create "Test Cases for Facets," repackaging its data into an Infosys product. Infosys has also been blamed of creating software to extract QNXT data, containing confidential TriZetto information.
Infosys denies allegations
In response to the lawsuit, Infosys has issued a statement denying all allegations made by Cognizant. The company stated that it is aware of the lawsuit and will defend its position in court.
Legal battle amid leadership changes
This legal battle comes at a time when both companies are experiencing leadership changes, involving executives who have served at both firms. Recently, Cognizant appointed ex-Infosys executive Rajesh Varrier as global head of operations, and India xhairman and managing director. This appointment followed the resignation of Rajesh Nambiar, who is set to take over as NASSCOM's President. Additionally, Cognizant's CEO Ravi Kumar S is also an Infosys veteran with a 20-year career at the Bengaluru-based firm.
