Cognizant to acquire 3Cloud, terms not disclosed

Cognizant (CTSH) entered into a definitive agreement to acquire 3Cloud, an independent Microsoft Azure services provider and a global leader in Azure-dedicated AI enablement solutions. The acquisition will strengthen Cognizant’s role as a strategic partner for enterprise AI readiness and digital transformation by adding 3Cloud’s advanced capabilities in data and AI, app innovation, and cloud platforms for enterprise clients. The acquisition will significantly expand Cognizant’s Azure portfolio and deepen its expertise in complex, engineering-intensive engagements that enable AI-led business transformation. 3Cloud serves a predominantly enterprise-scale client base across banking and financial services, healthcare, technology, and consumer sectors. Since 2020, 3Cloud has delivered 20% organic compound annual growth, with 20%+ growth expected in 2025, driven by strong demand for Microsoft Azure-powered business transformation. Microsoft reported that Azure and other cloud services grew at 40% year-on-year in Q3 2025. Cognizant’s approach to enterprise AI focuses on empowering organizations to build, deploy and scale AI solutions rapidly. By integrating 3Cloud’s Azure and data and AI expertise with Cognizant’s proven platforms and technology frameworks, clients stand to benefit from an end-to-end ecosystem that accelerates AI innovation. Upon closing of the acquisition, 3Cloud will add 1,000+ Azure experts and engineers and 1,500+ Microsoft certifications to Cognizant’s capabilities, and 3Cloud’s nearly 1,200 employees, including approximately 700 in the United States, will join Cognizant’s nearly 20,000 Azure-certified associates globally. The acquisition is expected to close in the first quarter of 2026, subject to the receipt of required regulatory approvals and other closing conditions. Financial details were not disclosed.