JOIN USAmid the transformational journey of IT service delivery around the globe, Infosys made it clear that it will not become a product company, despite bringing innovation powered by automation, artificial intelligence, products and platforms.
Addressing the Morgan Stanley TMT (Technology, Media and Telecom) conference held in San Francisco, Infosys CEO and MD Vishal Sikka said the whole world is moving towards the services way.
“Our endeavour is not to become a product company; that will completely miss the point. At a time when everything is becoming a service, why would a services company want to become a product company?” he asked.
Sikka said the idea here is to productise intellectual property in service of the project to amplify the ability of the people to do more with less for more. “We have 800 projects which were people-to-software projects. We want to make it more software-only so that the cost can be lowered for the customer, and our margins will not be sacrificed. It will help us improve our band width too,” he said.
He said the industry is looking at product, services and innovation from three dimension. “There should be desirability of end user dimension. The feasibility of the engineering technology dimension and the viability, that is the economic and value in it,” he said. The Infosys CEO reiterated the commitment to achieve industry-leading growth in the ongoing financial year, and the long-term goal of touching $20 billion in revenue, with 30% operating margin and $80,000 revenue per employee in calendar year 2020. “We will be able to achieve these with minimal investments, both in people as well as acquisitions,” he said.
Sikka said that he is quite satisfied with the early progress on the plan, but it is still at an early phase, and a lot is still in front of us. “Our endeavour is to have consistent profitable growth, and that has been our philosophy. We are on track to get to industry-leading growth in the next financial year. We want to be a global leader in this new kind of IT services,” Sikka added.