Indian software industry to log $60bn revenue: Nasscom

NEW DELHI: The Indian software and services industry is expected to grow 16 percent this fiscal and log revenues of $60 billion despite the global slowdown, a top lobby for the industry said on Wednesday.

The National Association of Software and Service Companies (Nasscom) said together with the business process outsourcing (BPO) sector, the revenues are expected to top $71.7 billion with a growth of 17 percent.

Of this, the export of software and services will account for $47 billion, growing by 16-17 percent. The association also said that the domestic BPO industry would log a growth of as much as 40 percent this fiscal.

“The current financial year has been challenging for economies across the globe. But the Indian IT-BPO industry has exhibited a balanced growth,” said Ganesh Natarajan, chairman of Nasscom and global chief executive of Zensar Technologies.

“We have seen Europe, Asia Pacific and rest of the world grow more than US, reaffirming geographical diversification as an encouraging trend for this industry,” Natarajan told reporters, while releasing the association's report.


Source: http://timesofindia.indiatimes.com/Business/Software_Inc_to_log_60bn_revenue/articleshow/4074761.cms

Turbulent Lehman Brothers to affect Indian IT-BPO

New Delhi: With the tentacles of Lehman Brothers fiasco unfolding on the Indian software companies, the industry body Nasscom today said, there would be short term and company specific impact.
Stating that the Indian IT-BPO sector is a part of the global financial system that has seen a lot of turbulence in the recent past, the apex body said, "Our preliminary analysis of the current situation indicates that the impact will be short term and company specific; we will continue to keep a watch on any further downstream impacts."
With nearly half of their revenues coming from banking and financial services segments, India's top software exporters are closely monitoring the financial crisis spreading across markets.
While Infosys and TCS, the country's two largest IT firms, said they do not comment on individual clients, the third largest IT firm in the country, Wipro said it was in dialogue with failed Lehman Brothers, although revenues from it were modest.
The fourth largest software exporter from the country Satyam also said that it was "concerned" over the developments in the US. HCL Technologies, however, said that the two US majors, Lehman and Merrill Lynch, were not its clients and therefore, would not adversely affect the company.
When one puts all of this together, there is some loss but given that most of the top 5 companies have over 40-45 per cent exposure to BFSI space, then mood is worried and concerned right now, said an analyst.

Source: www.mid-day.com