Microsoft (MSFT) And PepsiCo (PEP) Sign Major Partnership

By Amit Chowdhry ● July 27, 2020
  • Today Microsoft Corporation (NASDAQ: MSFT) and PepsiCo, Inc. (NASDAQ: PEP) announced a five-year partnership that establishes Microsoft as a preferred cloud provider

Today Microsoft Corporation (NASDAQ: MSFT) and PepsiCo, Inc. (NASDAQ: PEP) announced a five-year partnership that establishes Microsoft as a preferred cloud provider for accelerating PepsiCo’s infrastructure, ERP, and data estate consolidation and modernization. And as part of the agreement, PepsiCo will roll out Microsoft 365 and Microsoft Teams to all of its 270,000 employees worldwide.

Microsoft Azure will provide PepsiCo with greater agility and the ability to derive new insights from its data estate to fuel product innovations, customer intimacy, and sustainability goals. And this partnership is expected to fuel PepsiCo’s operational goals and aggressive innovation plans by utilizing agile cloud capabilities while providing Microsoft the opportunity to expand its relationship with a leading global provider of consumer-packaged goods.

PepsiCo’s products are consumed over one billion times a day across 200+ countries and territories around the world. Last year, PepsiCo generated over $67 billion in net revenue, driven by a food and beverage portfolio that includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker, and Tropicana. And PepsiCo’s product portfolio includes a wide range of enjoyable foods and beverages, which includes 23 brands that generate over $1 billion each in estimated annual retail sales.And Microsoft is aiming to help PepsiCo drive better efficiencies from farmers to consumers.

KEY QUOTES:

“As a global leader in convenient food and beverages, our commitment to the timely delivery of PepsiCo products has never been more important. Through our partnership with Microsoft, we aim to improve service delivery capabilities to meet rising demand for essential goods while driving new innovations to make our operations and workforce stronger and more resilient for the future.”

— PepsiCo CIO Seth Cohen

“Our partnership with PepsiCo applies Azure and AI capabilities to the ever-changing supply chain and retail landscape in new and exciting ways. By migrating PepsiCo’s global data estate and SAP landscapes to Azure, we’ll be able to help PepsiCo drive efficiencies from farmer to consumer. We’re also pleased to deliver Microsoft 365 to PepsiCo’s associates worldwide as part of this partnership. Mobile communication and collaboration for PepsiCo’s workforce will be one of the keys to realizing the value Microsoft brings.”

— Deb Cupp, Microsoft CVP Enterprise Commercial Business