Kyndryl Announces Strategic Partnership and Strong Q4 Outlook in Earnings Call

Kyndryl announces a global strategic alliance with Rubrik to offer enhanced cyber incident recovery services to healthcare and finance clients. The partnership aims to provide comprehensive data protection, backup, and disaster recovery solutions for cloud and on-premises workloads.

author-image
Dil Bar Irshad
New Update
Kyndryl Announces Strategic Partnership and Strong Q4 Outlook in Earnings Call

Kyndryl Announces Strategic Partnership and Strong Q4 Outlook in Earnings Call

On May 2, 2024, Kyndryl, the world's largest IT infrastructure services provider, held its earnings call, revealing a new global strategic alliance with Rubrik, the Zero Trust Data Security Company. The partnership aims to provide enhanced cyber incident recovery services to healthcare and finance industry clients, strengthening Kyndryl's cyber resiliency offerings.

Why this matters: The increasing demand for robustcybersecurity solutions has significant implications for businesses and individuals alike, as cyber attacks can have devastating consequences on data security and financial stability. As the digital landscape continues to evolve, strategic partnerships like this one will play a crucial role in shaping the future of cyber resilience and data protection.

During the call, Kyndryl's management expressed optimism about the company's financial outlook, expecting a 10-15% revenue increase and $1.4 million in license revenues in Q4. The strategic alliance with Rubrik builds upon their established collaboration in creating cyber resilient environments for customers across various industries.

Michelle Weston, Vice President of Global Offerings for Security & Resiliency at Kyndryl, emphasized the critical importance of data security, stating, "Data is the most critical business asset today — and the more data that organizations accumulate, the more they are faced with making sure their data is protected and their critical business processes are recoverable." The partnership will provide customers with comprehensive data protection, backup, and disaster recovery solutions for both cloud and on-premises workloads.

Ghazal Asif, Vice President of Global Channels & Alliances at Rubrik, highlighted the shared goal of the partnership, stating, "Kyndryl and Rubrik are working toward a common goal: keeping organizations' critical systems up and running after a cyber incident, the ultimate cyber resilience." By combining their expertise and resources, the companies aim to help organizations enhance their cyber resilience while simultaneously reducing IT cost and complexity.

The demand for robust cybersecurity solutions continues to grow, particularly in the healthcare and finance sectors. Kyndryl's partnership with Rubrik positions the company to capitalize on this market opportunity, demonstrating its commitment to expanding its offerings and delivering value to customers in an increasingly digital and interconnected business environment.

The earnings call also shed light on Kyndryl's focus on fintech compliance, a critical aspect for companies operating in the financial services industry. As regulatory requirements continue to evolve, Kyndryl's attention to compliance highlights its dedication to providing secure and reliable services to its clients in the finance sector.

Looking ahead, Kyndryl's strong revenue growth projections andstrategic initiativessignal a promising future for the company. With its global reach, extensive expertise, and commitment to innovation, Kyndryl remains a key player in the IT infrastructure services market. As Michelle Weston stated,"The more data that organizations accumulate, the more they are faced with making sure their data is protected and their critical business processes are recoverable. Kyndryl's proactive approach to addressing these challenges positions the company well to tackle the complexities of the digital era and support its clients in achieving their business objectives.

Key Takeaways

  • Kyndryl and Rubrik form global strategic alliance for cyber incident recovery services.
  • Partnership aims to enhance cyber resiliency offerings for healthcare and finance clients.
  • Kyndryl expects 10-15% revenue increase and $1.4 million in license revenues in Q4.
  • Partnership provides comprehensive data protection, backup, and disaster recovery solutions.
  • Kyndryl focuses on fintech compliance, demonstrating commitment to secure services in finance sector.