While the Indian IT firms are getting aggressive in buying smaller ticket size companies in the US, sources with direct knowledge share that one such candidate, Sierra-Cedar with HQ in Georgia, US is close to launching a sale process soon. Valuation expectation for a complete sale of Sierra-Cedar is pegged at around $350 million, a source said.
BENGALURU: Infosys and Accenture have entered the final lap to clinch a Rs 900-crore ($150 million) IT outsourcing contract from Australia-based financial services provider Macquarie Group. The five-year contract will include application development, testing and infrastructure management services (IMS), said sources privy to the development. Macquarie provides banking, financial, advisory, investment and funds management services. It employs more than 13,900 people in 28 countries.
BENGALURU: Infosys plans to allocate a quarter of its $500-million (about Rs 3,000 crore) fund to invest in startups in Silicon Valley, Israel and India along with venture capital firms. India’s second-largest software services exporter has had discussions with about two dozen VC firms, including Andreessen Horowitz, for such investments, two people familiar with Infosys’ strategy said, requesting anonymity. “There are no formal agreements with any particular VCs. The strategy is to back startups and entrepreneurs with ideas that align with the company,” one of them said. “The idea is not just to be a passive financial investor but take disruptive solutions to customers.”
It’s been a decade and a half since the Indian IT industry began its ascendancy into the IT services stratosphere, quickly becoming a key supplier of much of the world’s IT-related software services needs. Today, it is a $100 billion-plus industry, with around $35 billion of business emanating from the US alone. But as it wends its way along the evolutionary path, some things have been made clear to even the casual observer:
BANGALORE, India—As its growth slows, India’s technology services outsourcing industry is struggling to become less dependent on peddling the services of inexpensive programmers and trying to enter new businesses like off-the-shelf software and helping customers with big data and cloud computing. India’s leading outsourcers, including Tata Consultancy Services Ltd. and Infosys Ltd. , said last month that their profit growth was squeezed last quarter by dwindling demand from the U.S. and Europe.
BENGALURU: Infosys, after signing its first big-ticket acquisition under CEO Vishal Sikka last week, is evaluating a dozen more startups — all aimed not at bulking revenues or adding clients, as Indian IT companies typically do, but at gaining cutting-edge technology such as automation and artificial intelligence (AI). “We have a dozen targets we are looking at now,” Sikka said in an interview to ET, days after the software company bought automation startup Panaya for Rs 1,200 crore ($200 million).
BENGALURU: Infosys will hire 30,000 people in the next financial year, the lowest in the last three years, reflecting partly the company’s growing emphasis on automation and productivity improvements. The number was first mentioned by CEO Vishal Sikka in an investor call earlier this week to discuss the acquisition of US automation company Panaya. Infosys subsequently confirmed the number to TOI.
MUMBAI: After decades of low-margin work like server maintenance, India’s information technology services firms are moving upscale in search of lucrative contracts for driverless cars and other advanced projects as online innovation changes clients’ needs. Companies from Tata Consultancy Services Ltd to Wipro Ltd are all joining Infosys Ltd in investing in new, high-end technology, industry watchers say. Earlier this week Infosys bought US automation specialist Panaya Inc for $200 million.
NEW DELHI: Country’s second largest software services firm Infosys today said it has secured a multi-year, multi-million dollar deal with ABN AMRO to provide IT services to the retail and commercial bank. Infosys, a strategic partner of ABN AMRO, will deliver services across application development and maintenance, testing and product implementation, the company said in a statement.
MUMBAI: Infosys said it would buy automation technology company Panaya Inc, at an enterprise value of about $200 million, as the third-largest IT company in the country looks to boost competitiveness and margins. The Bangalore-based firm said Panaya’s technology would help it bring automation to several service lines through a software-as-a-service model, reducing risks and costs and the time taken to bring services to the market.
MUMBAI: Even as the furore over layoffs in the IT sector is yet to die down, Infosys has said re-skilling talent is the answer to rapidly changing technologies in the software landscape. “It is not that there are tens and thousands of people (available) with experience in new technologies. The idea is to re-skill people. If technology changes and people don’t have those capabilities, you’ve to re-skill them and re-orient them,” Infosys, Chief Operating Officer, Pravin Rao said on the sidelines of an industry event last week.
NEW DELHI: Once an IT bellwether, Infosys expects to regain its premier status and beat industry growth rates in the next 18 to 30 months. The over $ 8 billion company’s market performance has been improving with every quarter and its latest quarterly results are reflective of that, says its CEO Vishal Sikka.
NEW DELHI: Infosys, the country’s second largest IT services firm, is open to ‘bigger scale’ mergers and acquisitions but with a caveat, it is not interested in “yesterdays” companies. The Bengaluru-headquartered company, that was once the bellwether of Indian IT industry, also says it is primarily interested in taking over innovative companies and in areas like automation and artificial intelligence.
MUMBAI: Infosys is now neck-and-neck with Tata Consultancy Services (TCS) in terms of operating margins, a year-anda-half after the Bengaluru-based company lost the most profitable IT firm title to its Mumbai-headquartered rival. Infosys was known for having the fattest margins in the IT industry in the last decade, but over the past two years, it shrank dramatically. In the second-quarter of fiscal 2013, TCS overtook Infosys to become the most profitable IT company in the country. A year later, TCS posted an operating margin of 30.2%, miles ahead of Infosys’ 21.9%.
NEW DELHI: IT services major Infosys today said it has implemented billing and payments solutions for L A Care Health Plan, the largest publicly operated health plan in the US. Its US-based subsidiary Infosys Public Services has implemented the IT solution for L A Care Health Plan, which serves over 1.6 million members. This solution will help improve access to health benefits for 24,000 members on its L A Care Covered plan offered through the Covered California health insurance marketplace, Infosys said in a statement.
BANGALORE: Infosys CEO Vishal Sikka, who shuttles between San Francisco and Bangalore to balance his family and work life, believes that India lives in his heart. Sikka, who took over as the first non-founder CEO of the country’s second largest IT services firm in August last year, stays with his family in the US. Talking to reporters here, Sikka said he is spending a lot of time in India.
BANGALORE: India’s second largest software services firm Infosys will expand its ‘Innovation Fund’ five times to $ 500 million to provide financing to start-ups and new technologies like artificial intelligence. “I am very excited that our board has approved expanding our start-up funding firm from 100 million dollars to 500 million dollars and we will dedicate a part of that investing in India,” Infosys CEO and Managing Director Vishal Sikka said.
NEW DELHI: InfosysBSE 5.02 % on Friday said it would pay out 100% variable bonus to employees for the quarter ended December. “We have made 100% variable payout for Q3 and have seen a further decline in attrition as a result of multiple initiatives taken over the last few quarters,” said U. B. Pravin Rao, Infosys chief operating officer. Chief Executive Vishal Sikka has upped efforts to engage with employees and boost their morale ever since he took over the role of the top boss at Infosys.
BANGALORE/MUMBAI: Infosys, the second largest IT player in India, expanded its global innovation to fund to $500 million, from $100 million, as it looks to focus on new ideas and products, and has appointed its former head of M&A to lead its engagement with startups. “The company has expanded its innovation fund ….to support the creation of a global eco-system of strategic partners.
NEW DELHI: Ever since Chief Executive Vishal Sikka took the helm at Infosys, his focus has clearly been on the employees- from easing internal processes to encouraging out-of-the-box thinking. Now, possibly the first time ever, the IT outsourcing major has gifted some high performers Apple’s latest iPhones as a token of appreciation.