New Delhi: Navratna public sector undertaking RailTel Corporation of India Ltd. has secured a ₹33.78 crore purchase order from another railway PSU, Indian Railway Catering and Tourism Corporation (IRCTC), for providing Infrastructure as a Service (IaaS).
The order is expected to strengthen RailTel’s order book and further enhance its role in delivering digital infrastructure solutions for Indian Railways and other government organisations.
RailTel Receives ₹33.78 Crore IaaS Purchase Order from IRCTC
RailTel informed that it has received a purchase order from IRCTC for the provision of Infrastructure as a Service (IaaS).
Key highlights of the order:
- Customer: Indian Railway Catering and Tourism Corporation (IRCTC)
- Service: Infrastructure as a Service (IaaS)
- Order Value: ₹33.78 crore (inclusive of taxes)
- Contract Period: Two years from the date of project commissioning
- Extension Clause: Extendable by one additional year on the same terms and conditions
- Execution Timeline: Project to be completed by September 30, 2029
The order reflects continued collaboration between two major public sector enterprises under the Ministry of Railways.
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Contract to Strengthen RailTel’s Digital Infrastructure Portfolio
The IaaS project is aimed at providing robust digital infrastructure support to IRCTC.
Infrastructure as a Service enables organisations to access computing infrastructure, storage, networking and other IT resources without investing in physical infrastructure, helping improve operational efficiency and scalability.
The contract is expected to further strengthen RailTel’s presence in the government digital infrastructure segment.
Project Scheduled for Completion by September 2029
According to the purchase order, the project is scheduled to be completed by September 30, 2029.The agreement will remain valid for two years from the date of commissioning, with the provision to extend the contract by one additional year under the same terms and conditions, if required.The long-term engagement is expected to ensure continuous infrastructure support for IRCTC throughout the contract period.
Order Expected to Support RailTel’s Financial Performance
The ₹33.78 crore order is expected to contribute positively to RailTel’s financial performance over the coming years.
The project will also:
- Strengthen RailTel’s order book.
- Expand its portfolio of digital infrastructure projects.
- Reinforce its role in delivering IT solutions for railway sector organisations.
- Support long-term revenue generation through infrastructure services.
The contract highlights the growing demand for cloud and digital infrastructure services among public sector organisations.
Market Update
Following the announcement:
- RailTel Corporation of India Ltd. shares were trading 2.32% lower at ₹284.75 on the BSE.
- IRCTC shares were also trading 0.13% lower at ₹492.50 on the BSE.
The stock movement reflected the broader market trend during the trading session.
About RailTel
RailTel Corporation of India Limited is a Navratna Central Public Sector Enterprise (CPSE) under the Ministry of Railways. The company is one of India’s largest neutral telecom infrastructure providers, operating an extensive nationwide optical fibre network. RailTel offers broadband, telecom, cloud, data centre, cybersecurity and digital solutions to government organisations, enterprises and the railway sector, while supporting the country’s Digital India initiatives.
About IRCTC
The Indian Railway Catering and Tourism Corporation (IRCTC) is a Miniratna Public Sector Enterprise under the Ministry of Railways. It is responsible for managing online railway ticket booking, onboard catering services, Rail Neer packaged drinking water, executive lounges, and railway tourism packages.
Read also: IRCTC Leadership Change: Rahul Himalian Takes Additional Charge as CMD from July 20, 2026
