Compared to its primary rival TCS, Infosys gets 1.9 percent of its $7 billion sales or about $135 million of the annual revenue from India, while the former gets 7.5 percent of its $10.8 billion or $810 million.

According to Manish Bahl, Forrester’s country manager and vice president, the government is cautious about technology spending decisions and is unlikely to announce more projects with general elections in 2014.

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Besides a diversifying outlook, Infosys should look into delivering solutions at competitive prices rather than investing to build experienced network of partners, emphasizing on small and medium businesses also, adds Milan Sheth, partner of technology advisory, Ernst and Young.

IBM is having a wider reach as it has changed its networks to Tier I and Tier II companies. This has changed the focus to alternative markets for growth rather than earlier focuses on outsourced jobs by U.S. and Europe. Bahl also added that in order to support growth, IT services may get more aggressive on domestic deals even if they come at lower margins.

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