Indian IT companies grooming overseas centres

By siliconindia   |   Monday, 05 November 2007, 20:30 IST
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Chennai: Though the Indian Information technology companies have realized that no other countries can provide efficiencies of scale, cost and quality the way India can, presently many companies are thinking of non-India software development centres as a second option. China is considered as top priority for Infosys Technologies and Tata Consultancy Services. Wipro Technologies also has plans to focus on niche capabilities. Today most non-India development centres have the same capabilities as India. However, the companies lack in terms of multiple domain skills and certain implementation aspects. Foreseeing this, "Tata Consultancy Services acquisition strategy is focused on enhancing its skills and it is not keen to buy firms with very large staff," a top official said on November 5. TCS China which offers IT services, application development, maintenance and consulting has plans to start BPO operations soon. In addition, it is building expertise in ERP implementation, engineering services, banking and financial services, manufacturing, and telecom. "In the next five years, we plan to have about 6,000 people in China," a TCS spokesperson told BusinessLine. Infosys serves around 38 clients, out of which 15 are local that accounts for 25 percent of company's China revenue. Except on headcount, Wipro's outside India centres are on par with those in India. Most of Wipro's onsite work is on niche segments. China and Japan centres deals with language specific works, Eastern Europe centres handle BPO operations, France and Brazil centres work on embedded software designs, while its Finland centres are focused on telecom and product life cycle management.