Spark New Zealand (ASX:SPK, NZE:SPK) agreed with Infosys to use the New York Stock Exchange-listed company's Topaz and Cobalt products to reduce information technology operating costs, according to a Wednesday Australian and New Zealand bourse filing.

Under the agreement, Infosys will provide its services and products to help build, test, integrate, and deliver the company's systems and applications, along with monitoring and support.

Spark will continue to retain its IT assets and control its technology architecture strategy, product design and innovation roadmap, and business applications, supported by Infosys' global reach and expertise.

As part of the agreement, Infosys will expand its local workforce to complement its global operations and ensure that critical local support and expertise are retained in New Zealand, the filing said.

The company aims to deliver a reduction of about NZ$80 million to NZ$100 million in net labor and operational expenditure costs this year, with annualized benefits of NZ$110 million to NZ$140 million by 2027.