PepsiCo and Microsoft have announced a five-year partnership that establishes the tech giant as a preferred cloud provider to accelerate the food & drink firm’s infrastructure, ERP, and data estate consolidation and modernization.

As part of the agreement, PepsiCo will roll out Microsoft 365 and Microsoft Teams to all of its 270,000 employees worldwide. In addition, PepsiCo will deploy Microsoft Azure with the aim of obtaining greater agility and the ability to derive new insights from its data estate to fuel product innovations, customer intimacy, and sustainability efforts.

“As a global leader in convenient food and beverages, our commitment to the timely delivery of PepsiCo products has never been more important,” said PepsiCo CIO, Seth Cohen.

“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.”

Deb Cupp, Microsoft’s CVP Enterprise Commercial Business, added: “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.”

This partnership is expected to support PepsiCo’s operational goals and innovation plans by leveraging agile cloud capabilities while providing Microsoft with the opportunity to expand its relationship with a leading provider of consumer-packaged goods.