Cognizant Technology Solutions has ramped up its legal fight against Infosys Ltd, accusing the tech giant of misappropriating trade secrets related to its TriZetto healthcare software. In a filing submitted to a Dallas court on February 7, Cognizant claimed that Infosys was “caught red-handed” using confidential data to develop a competing product. The accusations stem from unauthorized access to the Facets and QNXT platforms of TriZetto, which Cognizant alleges Infosys used to extract proprietary information for its benefit.
According to a report by Mint, this legal clash began in August 2024 when Cognizant first accused Infosys of stealing sensitive data from its healthcare software. In its response, Infosys denied the charges, arguing that the information in question was already publicly available. However, Cognizant insists that Infosys violated non-disclosure agreements (NDAs) and tried to block audits that could have confirmed the alleged misuse of its data. “Infosys was caught red-handed misappropriating TriZetto trade secrets that Infosys originally had access to,” Cognizant said in its latest filing.
The case has taken on a personal dimension as well, with Infosys filing a counterclaim against Cognizant’s CEO, Ravi Kumar S., a former Infosys executive. Infosys accuses Kumar of delaying the launch of its healthcare software while negotiating his transition to Cognizant in 2023. Moreover, Infosys has accused Cognizant of monopolistic practices, alleging that the company imposed restrictive contractual obligations that limited competition in the healthcare tech market.
Both companies, fierce competitors in the healthcare IT sector, rely heavily on this market for their revenue. According to media reports, while Infosys generates around 7.5% of its revenue from healthcare clients, Cognizant derives nearly one-third of its revenue from this sector. The outcome of this case could have significant consequences not only for these two IT giants but also for the broader industry’s handling of intellectual property and trade secrets.
Mint reports that the legal proceedings are ongoing, and the stakes could not be higher for both firms, who continue to battle it out in court over their future in the competitive healthcare tech space.