Tech Mahindra expands Telefónica Germany cloud deal

Tech Mahindra has expanded its partnership with Telefónica Germany to build a private cloud platform under a multi-year infrastructure modernisation deal.

The project will create a Platform-as-a-Service environment to support telecom and enterprise workloads in Germany. Designed as the foundation of a broader private cloud, it will include compute, storage, backup, containers, graphics processing units, and ransomware protection as a service.

Platform build

Under the arrangement, Tech Mahindra will provide platform engineering and operational tools focused on automation and cloud-native management. It will use AI-driven automation, cloud-native orchestration, infrastructure-as-code frameworks, and self-service platform management as part of the build-out.

For Telefónica Germany, the project is part of a broader effort to modernise its infrastructure with a more open architecture and less reliance on proprietary virtualisation environments. The platform is also intended to strengthen operational control and digital sovereignty, while giving the operator a common foundation for traditional and newer infrastructure services.

Industry shift

The agreement reflects how telecom operators are reworking network and enterprise systems around cloud-based platforms that can host a wider range of workloads. Private cloud has become a strategic area for operators seeking more direct control over data handling, resilience, and the deployment of AI-related services.

Telefónica Germany is one of the country's largest telecommunications providers, serving about 35 million mobile connections. Its mobile network reaches more than 99 per cent of the population, while its fixed-line business offers nationwide coverage across multiple technologies.

In the year to the end of 2025, Telefónica Germany generated revenue of EUR 8.2 billion. The company is majority-owned by Telefónica, the Madrid-based Spanish telecoms group.

Executive views

Tech Mahindra said the expanded relationship could also lead to further work in managed services, cloud transformation, platform engineering, and telecom infrastructure modernisation. Part of the Mahindra Group, the company has more than 147,000 employees across more than 90 countries and serves more than 1,100 clients.

"Telcos are looking for open, scalable, and cloud-native infrastructure environments that support evolving digital service demands while optimizing operational efficiency. Our partnership with Telefónica Germany reflects a shared commitment to building a solution that combines automation, flexibility, and resilience. By leveraging platform engineering, cloud-native technologies, and AI-driven automation, we are creating a strong foundation for next-generation telecom infrastructure and enabling enterprise and business-to-business (B2B) growth," said Harshul Asnani, President and Head of Europe Business, Tech Mahindra.

Telefónica Germany also described the work as part of its longer-term approach to infrastructure platforms for business and network services.

"This partnership supports our strategy to modernize infrastructure through a more open, flexible, and resilient Platform-as-a-Service architecture. Together with Tech Mahindra, we will establish a platform foundation capable of supporting future AI-native digital services, enterprise workloads, and evolving B2B requirements in Germany, while strengthening operational control, digital sovereignty, and long-term infrastructure resilience," said Markus Ruwisch, Head of Infrastructure Platforms & Services, Telefónica Germany.