Cognizant Technology Solutions (NASDAQ:CTSH) has reached an agreement to acquire Astreya for approximately $600 million, according to a report by Reuters.
The acquisition is expected to enhance Cognizant’s capabilities in AI infrastructure, as demand for artificial intelligence continues to grow across industries.
The transaction is anticipated to close in the second quarter of 2026, subject to regulatory approvals, and is likely to be formally announced on Wednesday.
Cognizant has been benefiting from increased enterprise demand for AI integration and automation, particularly as clients shift workloads to the cloud. The company has also strengthened partnerships with Microsoft and AI firm Anthropic to remain competitive in a rapidly evolving market.
“By acquiring Astreya and its proprietary AI tooling and production-grade infrastructure platform, which is complementary to Cognizant’s AI builder stack, we will be even better-positioned to help clients architect their platform-led AI systems and operationalise them at scale,” said Ravi Kumar S.
The Astreya acquisition follows a series of recent deals aimed at strengthening Cognizant’s AI-focused offerings. The company acquired 3Cloud in January to expand its Microsoft Azure capabilities and previously purchased Belcan in 2024 for nearly $1.3 billion.
Founded in 2001, Astreya has spent close to a decade managing data center infrastructure, AI lab environments, and enterprise networks for six of the so-called Magnificent Seven technology companies.
Cognizant, currently valued at around $26 billion, has seen its market value decline by more than one-third this year, amid weaker demand expectations for IT services and concerns about AI-driven pricing pressures.