Processing .....please wait.. 
The article has been forwarded.... 
News >> Technology >>
Satyam outbids rivals to win railway deal
By siliconindia
|
Tuesday, 25 November 2008, 20:30 IST |
5 Comments
Bangalore: As IT companies are scouting for opportunities at home, Hyderabad based Satyam Computer Services has beaten its competitors to grab a significant IT outsourcing contract from the Indian Railways. Railways plans to outsource three more contracts over the next few months, each estimated to be worth 
450-500 crore.
The IT solution provider is said to have bid the lowest for the project to provide an asset management solution based on SAP business software for four locomotive sheds. The contract will be the first in a series of outsourcing deals worth almost 2,000 crore to be awarded by Railways over the next few months. According to an anonymous source cited by The Economic Times, the IT firms like TCS and Wipro were among the other bidders for the deal. TCS had earlier grabbed the largest domestic deal of e-governance and it has signed a deal worth over 1, 000 crore with the Indian government for a project to improve passport services.
India's software companies that earn bulk of their revenue from overseas, have been paying increasing attention to the domestic market in the face of the economic downturn. While Satyam has bid lower than its rivals for the first of Railways' planned contracts, bidding will only get more competitive for the rest of the deals. "We plan to have a multi-vendor strategy, and ideally would like to have different vendors. We will spend around Rs 8,000 crore on IT over the next five years," said a Railways official. Government departments and state-owned companies are expected to spend nearly 7,000-8,000 crore during the year ending March 2009.
450-500 crore.
The IT solution provider is said to have bid the lowest for the project to provide an asset management solution based on SAP business software for four locomotive sheds. The contract will be the first in a series of outsourcing deals worth almost 2,000 crore to be awarded by Railways over the next few months. According to an anonymous source cited by The Economic Times, the IT firms like TCS and Wipro were among the other bidders for the deal. TCS had earlier grabbed the largest domestic deal of e-governance and it has signed a deal worth over 1, 000 crore with the Indian government for a project to improve passport services.
India's software companies that earn bulk of their revenue from overseas, have been paying increasing attention to the domestic market in the face of the economic downturn. While Satyam has bid lower than its rivals for the first of Railways' planned contracts, bidding will only get more competitive for the rest of the deals. "We plan to have a multi-vendor strategy, and ideally would like to have different vendors. We will spend around Rs 8,000 crore on IT over the next five years," said a Railways official. Government departments and state-owned companies are expected to spend nearly 7,000-8,000 crore during the year ending March 2009.