Tech & Sourcing @ Morgan Lewis

As the use of generative artificial intelligence (GenAI) proliferates, customers and vendors face unique challenges in contract negotiations. This post discusses these challenges, offering viewpoints from both perspectives.

We invite you to join us for the next presentation of the Tech & Sourcing webinar series Navigating the Global Landscape Through Innovation on Thursday, December 4, 2025 at 12:00 pm ET.

The EU Data Act’s implementation date is already upon us. That’s right, it becomes applicable, in part, on September 12, 2025, marking a major milestone in Europe’s data transformation journey, impacting cloud services, connected products and other data-driven industries.

In a recent LawFlash, a team of Morgan Lewis lawyers discussed the US Court of International Trade and the US District Court for the District of Columbia’s ruling that invalidated President Donald Trump’s actions imposing tariffs pursuant to the International Emergency Economic Powers Act of 1977, and the temporary, administrative stay granted by the US Court of Appeals for the Federal Circuit while it considers whether to stay the orders during the pendency of the government’s appeal of the ruling. These recent events demonstrate the continued uncertainty businesses and consumers face in light of this economic policy.

The leveraging of outsourcing engagements to implement and support digital transformation solutions is emerging as the foundation for the next generation of outsourcing. Digital transformation is a critical part of many companies’ strategic roadmap, seen as creating key opportunities for cost savings, efficiency, productivity and quality improvements, enhanced customer experience, and competitive advantages, including through state-of-the-art automation and data analytics. Many companies do not have the internal resources or skill sets to implement digital transformation at the required pace. This is leading to companies “leaning in” on their outsourcing providers to identify, design, and enable digital transformation solutions in a secure and compliant manner.

As noted in our recent blog, business process outsourcing (BPO) providers are promising big savings and improved outputs tied to the design and implementation of digital solutions that will monitor, quality check, facilitate, and sometimes perform the applicable business processes.

Gone are the days when a company could outsource the “people” that perform a business process without considering, and likely including in the outsourcing arrangement, the digital enablement of the underlying workflows and activities.

The rapid adoption of generative AI (gen AI) is driving increased cloud consumption.

In the case of the ownership of intellectual property (IP) developed by a supplier as part of a service agreement with a customer, should the traditional position that the customer should own all developed IP always be the position agreed upon by the parties?

In this blog post we explore build-operate-transfer (BOT) models in relation to businesses setting up offshore delivery centers, commonly becoming known as Global Capability Centers (GCCs).