Dec 4, 1999|
Indian IT honchos pooh-pooh CA chief's concerns
Indian infotech (IT) chiefs find little merit in the fears cited by the chairman of Computer Associates (CA) of a slowdown in the Indian software industry.
Last month witnessed Charles Wang, chairman and chief executive officer (CEO) of Computer Associates (CA) of USA visit to India, where he claimed that the Indian IT sector would struggle to match current growth rates in future since it was overly dependent on body-shopping at the expense of product development.
Indian IT heads believe that so long as Indian software industry continues to focus on product development as opposed to pure body-shopping, the Indian industry will sustain growth at current levels if not outperform it.
As reported by a leading financial newspaper, Infosys' Nandan Nalekani claims that there are enormous opportunities for value-additions in the products and services models. He remarked: 'The Indian IT industry is evolving and many of the significant players have successfully leveraged the offshore model to develop relationships with their clients and are managing large projects.'
He believes that the Indian IT industry as a whole is progressing up the IT value chain by adding value in both products and services.
Indian IT majors (Infosys, Wipro, Satyam, NIIT) have realised the boundless potential of the Internet and have targeted e-commerce solutions as the engine for growth in the next millenium. A few like Global Telesystems, Satyam Infoway have begun working in path-breaking areas like the development of the payment gateway, which will facilitate e-commerce.
However, those who have ignored the potential of the Internet, and have stuck to providing basic software solutions and onsite consultancy will see a decline in growth rates.
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