EDS Acquires India-Based Software Tester

Outsourcer EDS said Monday that it has reached a deal to acquire RelQ Software, a privately held application testing firm based in India's Bangalore tech hub.

Under the deal, all of RelQ's 700 employees in India, the United Kingdom, the United States, and France are expected to join EDS. The transaction, financial terms of which were not disclosed, is expected to close in May.

RelQ is an ISO 9001-2000 certified software testing company that serves customers primarily in the banking, financial services, telecom, and consumer electronics industries. The company offers real-time testing of enterprise applications and embedded software systems.

Speaking to financial analysts last month in New York, EDS CEO Michael Jordan said the company would spend $1.5 billion to $2 billion annually to acquire smaller outsourcers through "2007 and beyond."

Last year, EDS acquired a majority stake in Indian outsourcer Mphasis BFL Ltd., a provider of business process and application development services.