Software companies may recoup losses by fiscal end: Gartner
By siliconindia   |   Thursday, 25 September 2008, 16:32 IST
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Mumbai: Careworn by the slowdown viral and the Wall Street crisis, the software companies are in the verge of quitting all their hopes on improvement but Gartner's words can re-energize their spirit. Partha Iyengar, Vice-President and Analyst, Gartner India says, "Software companies may recoup some of the losses they made in the earlier quarter in the fourth quarter." As reported in Economic Times, despite the gloomy atmosphere Iyenger foresee a revival after the U.S. election. As far as the current conditions are concerned he do not see any further decline propelled by the downfall of the financial giants. Infact, his outlook for FY09 remains 'cautiously optmistic' and that for FY10 'fairly optimistic' with growth returning to earlier levels. There are uncertainties clouding the market with BSE-IT losing 167 points and Merryl and Lehman were prominent contributors for certain top notched firms like TCS, Wipro, HCL Tech and eClerx. But with players like Bank of America and Lloyd TSB acquiring Meryll Lynch and HBOS, opportunities will open up for the IT firms. While providing an insight into the future, the Gartner analyst also suggests companies to control the incessant lay offs of employees. He says, "Postponing joining dates is okay but if go you back on offers that have been given, the company's brand will be negatively affected." The control will help in retaining the credibility that the Indian industry enjoys and shall enable it to recover within a short span of time.

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