Cognizant’s subsidiary, TriZetto, has filed a lawsuit in a Texas federal court accusing Infosys of illegally accessing its proprietary healthcare insurance software data. The lawsuit alleges that Infosys used this data to develop a competing product, which has sparked a significant legal dispute between the two IT giants.
Allegations of Data Theft
In its lawsuit, Cognizant claims that Infosys unlawfully accessed data from TriZetto’s software platforms, Facets and QNXT. The complaint alleges that Infosys used this stolen information to create its own product, which it then marketed as a competitor to Cognizant’s offerings. According to Cognizant, Infosys not only repackaged data from TriZetto’s software into a new product but also developed software to extract confidential information from QNXT.
Infosys Responds
Infosys has firmly denied the allegations, stating that it is aware of the lawsuit and will vigorously defend its position in court. The company asserts that it has not engaged in any illegal activities and disputes the claims made by Cognizant.
Recent Developments at Cognizant
The lawsuit comes at a time of significant transition for Cognizant. The company recently appointed Rajesh Varrier, a former Infosys executive, as its global head of operations and India Chairman and Managing Director. This move follows the resignation of Rajesh Nambiar, who is set to become the president of Nasscom. Additionally, Cognizant’s CEO, Ravi Kumar S, is also a former Infosys veteran, having spent over 20 years with the Bengaluru-based firm before joining Cognizant.
As the legal battle unfolds, both companies will be closely watched to see how the case affects their business operations and industry standings.