The downturn in revenues from application development and maintenance also necessitated Infosys to focus on other emerging trends.
Global needs
According Dataquest survey, engineering design and services exports, which is a small component of India’s software and services exports, is set to be next big thing in India’s march towards becoming a global knowledge powerhouse. Addressing the growing needs of aerospce and automotive majors in the UK and US, Infosys has already bagged contracts from Boeing, Airbus, Spirit Aerosystems and Triumph. Infosys plans to appoint more engineers across its campuses in India and invest more money for its engineering services division. The revenue from Product Engineering Services was 2.4 per cent of its total revenue recorded during Q1 of financial year 2009-10.
Major growth area
“We think engineering services is going to be a major area of growth for India and we want to tap this opportunity. For growth of this sector an ecosystem should be developed and we are working for that,” said Infosys Vice President & Head of Product Lifecycle & Engineering Solutions Valmeeka Nathan. Infosys will work with local vendors to build components for their customers thereby get an inclusive growth opportunity.
The engineering service divison is expected to raise its revenue share to 10 per cent from the current 2.4 per cent of overall revenue of the company. According to Booz Allen Hamilton Study for Nasscom companies are increasingly moving their services to emerging markets like India and China and that by 2020 engineering service industry may grow to $30 billion.
Liked the story?
0
0
0
0
0
