Share Market News: IT stocks hits upper circuit as company signs a 5-year AI deal with SpaceX International, check details here

Under this agreement, BCSSL-USA will be able to provide tailored services related to artificial intelligence (AI) infrastructure, cloud-based AI platforms, enterprise AI solutions, AI consulting, AI integration, and digital transformation.

New Delhi: Shares of Blue Cloud Softech Solutions Ltd., a small-cap AI-based IT company with a market cap of Rs 1,712.51 crore, hit a 5 percent upper circuit in the opening trade even as the benchmark indices fell due to ongoing tensions in the Middle East. The stock opened at Rs 22 on the BSE today against the previous close of Rs 21.66 and gained to touch the high of Rs 22.74.

The action comes as the company announced in its latest exchange filing that its US-based subsidiary, BCSSL-USA, has entered into a five-year Master Services Agreement (MSA) with SpaceX International Ltd. Under this agreement, BCSSL-USA will be able to provide tailored services related to artificial intelligence (AI) infrastructure, cloud-based AI platforms, enterprise AI solutions, AI consulting, AI integration, and digital transformation.

Tejesh Kumar Kodali, Chairman of Blue Cloud Softech Group, stated that this five-year agreement with SpaceX International Ltd. is a major step toward expanding the company's global AI business. According to him, this agreement will enable BCSSL-USA to provide enterprise AI solutions and AI infrastructure services at scale. He added that this partnership demonstrates customer confidence in the company's AI capabilities and will further strengthen the company's presence in international markets.

Bhaskar Nallamilli, CEO of BCSSL-USA, said this agreement further strengthens the company's position as a trusted partner in the field of enterprise AI transformation. He added that the company will work with the customer to provide large-scale AI infrastructure, a cloud-based AI platform, and AI-enabled digital transformation services. All of these services will be provided under separate Statements of Work to be negotiated between the two parties.

Markets tumble in early trade as rising oil prices dent sentiment

Market benchmark indices Sensex and Nifty declined in early trade on Tuesday dragged by a sharp rally in crude oil prices due to the renewed flare-up in West Asia. Fresh foreign fund outflows and a weak trend in global peers also put pressure on the markets.

The 30-share BSE Sensex dropped 552.99 points to 77,063.41 in early trade. The 50-share NSE Nifty declined 160.45 points to 24,050.55. Brent crude, the global oil benchmark, quoted 1.63 per cent higher at USD 84.60 per barrel.

"There are some headwinds blowing again which might impact the Indian market in the near-term. The escalation of US-Iran conflict has pushed Brent crude to USD 84. If this spike continues it will again start impacting India's macros," VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, said.

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