Kyndryl Announces Global Strategic Alliance with Databricks to Drive Customers' Digital Transformation

Rhea-AI Summary

Kyndryl (NYSE: KD) has announced a strategic global partnership with Databricks to enhance digital transformation capabilities for enterprise customers. The alliance combines Kyndryl's data and AI services with Databricks' Data Intelligence Platform to help organizations modernize their IT infrastructure and implement AI at scale. Key services include data foundation modernization, AI adoption acceleration, SAP data integration, and analytical insights delivery leveraging Kyndryl's mainframe expertise. The partnership aims to provide integrated solutions that enable customers to become data-driven organizations while modernizing their IT environments cost-effectively.

Positive

• Strategic partnership with Databricks expands Kyndryl's service offerings in AI and data modernization
• Integration capabilities with SAP Business Data Cloud creates new business opportunities
• Leverages Kyndryl's mainframe expertise to bridge legacy systems with modern analytics
• Enhances ability to deliver end-to-end data services and AI solutions to enterprise customers

Negative

• None.

Insights

Technology Partnerships Expert

Kyndryl's partnership with Databricks strengthens their AI and data services portfolio, creating new revenue opportunities in high-growth enterprise technology markets.

This strategic alliance between Kyndryl and Databricks represents a calculated expansion of Kyndryl's enterprise service capabilities in the rapidly growing data intelligence market. By integrating Databricks' Data Intelligence Platform with Kyndryl's implementation services, the partnership addresses increasing enterprise demand for AI capabilities and data modernization.

The partnership structure is comprehensive, focusing on four key service areas that leverage complementary strengths of both companies:

• Establishing modernized data foundations with enhanced security and scalability
• Accelerating enterprise AI adoption through Databricks' advanced capabilities
• Integrating SAP data through SAP Business Data Cloud and SAP Databricks
• Bridging legacy mainframe systems with modern analytics infrastructure

This last component is particularly strategic as it leverages Kyndryl's deep mainframe expertise—a core competency from its IBM heritage—while addressing a critical challenge for enterprises with legacy systems seeking to implement modern data analytics. This differentiation point could create meaningful competitive advantage in certain enterprise segments.

For Kyndryl, this represents continued evolution of their post-IBM partnership strategy, expanding beyond their legacy business into high-growth technology segments. The global nature of the alliance suggests significant scope, potentially creating new revenue streams from both existing customers and new prospects seeking comprehensive data modernization services.

While the announcement lacks financial details or implementation timelines that would help quantify immediate impact, this type of strategic technology alliance typically enhances service provider valuations by expanding addressable markets and modernizing solution portfolios. The partnership addresses genuine market needs in enterprise digital transformation, positioning Kyndryl as a more comprehensive service provider in the AI implementation space.

Partnership will leverage Kyndryl AI services to support customer adoption of the Databricks Data Intelligence Platform

NEW YORK, June 4, 2025 /PRNewswire/ -- Kyndryl (NYSE: KD), a leading provider of mission-critical enterprise technology services, today announced a new global strategic partnership with Databricks, the Data and AI company, to power digital transformation for customers by enabling and delivering AI at scale and by becoming data-driven organizations.

By combining Kyndryl's data and artificial intelligence (AI) services with the Databricks Data Intelligence Platform, a unified platform for data, analytics and AI, the companies are partnering to further assist customers with modernizing their IT estate and achieving their business goals in a cost-effective manner.

"Partnering with Databricks furthers our ability to support customers and drive business growth by establishing the right digital foundation and providing complete application and data modernization services," said Giovanni Carraro, Kyndryl's Global Strategic Alliances Leader. "Together, we'll expand the reach of Kyndryl's services through the delivery of integrated solutions that enterprises need to enable AI at scale and reap the benefits of their digital transformation journeys."

"As enterprise demand for data intelligence grows, Kyndryl's end-to-end services, experience managing and modernizing customers' IT environments and strong relationships, make them key partners in driving customer adoption of Databricks," said Jason McIntyre, Vice President of Consulting and Solutions Integrators at Databricks. "We look forward to supporting our joint customers in modernizing their data and achieving their business goals."

Under the alliance, Kyndryl will make its comprehensive data, AI and modernization services available to support customers leveraging the Databricks Data Intelligence Platform, including:

• Establishing and Modernizing Data Foundations: Kyndryl will provide end-to-end data services to help customers adopt Databricks and modernize their data and data architectures, while also helping to ensure data quality, security and scalability.
• Accelerating AI Adoption: Kyndryl will guide customers in applying the Databricks platform to unlock their data's potential using advanced capabilities – such as machine learning, natural language processing and computer vision – to gain deeper insights and enable AI at scale.
• Integrating SAP Data: Kyndryl will support customers in combining their SAP and enterprise data through the SAP Business Data Cloud and SAP Databricks to unlock insights, deliver business value and increase productivity.
• Delivering Analytical Insights: Kyndryl will combine its deep mainframe expertise with Databricks to bridge the gap between legacy systems and cutting-edge analytics, ultimately delivering increased business insights and value to customers.

Learn more about the Kyndryl and Databricks strategic alliance.

About Kyndryl
Kyndryl (NYSE: KD) is a leading provider of mission-critical enterprise technology services offering advisory, implementation and managed service capabilities to thousands of customers in more than 60 countries. As the world's largest IT infrastructure services provider, the company designs, builds, manages and modernizes the complex information systems that the world depends on every day. For more information, visit www.kyndryl.com.  

Kyndryl Press Contact 
press@kyndryl.com

Forward-looking statements

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SOURCE Kyndryl

FAQ

What is the purpose of Kyndryl's partnership with Databricks?

The partnership aims to power digital transformation for customers by enabling AI at scale and helping organizations become data-driven through combining Kyndryl's AI services with Databricks' Data Intelligence Platform.

What services will Kyndryl provide under the Databricks alliance?

Kyndryl will provide data foundation modernization, AI adoption acceleration, SAP data integration, and analytical insights delivery services using the Databricks platform.

How will the Kyndryl-Databricks partnership benefit enterprise customers?

Customers will benefit from modernized IT infrastructure, enhanced data analytics capabilities, improved AI implementation at scale, and cost-effective digital transformation solutions.

What role will Kyndryl play in SAP data integration with Databricks?

Kyndryl will help customers combine their SAP and enterprise data through SAP Business Data Cloud and SAP Databricks to unlock insights and increase productivity.

How will Kyndryl's mainframe expertise contribute to the Databricks partnership?

Kyndryl will bridge the gap between legacy mainframe systems and modern analytics using Databricks to deliver increased business insights and value to customers.