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Infosys expanding fast outside Bangalore

Our Bureau

The company will add capacity in Pune and Chennai. There will be significant investment in Mysore.

Bangalore , Jan. 11

INFOSYS Technologies has halted the expansion of its operations in Bangalore and begun growing at eight other cities across the country.

The company's move stemmed from the lack of space in the city. "There is no land to expand here," said Mr T.V. Mohandas Pai, Chief Financial Officer, Infosys Technologies. In spite of repeated requests to the Karnataka government since four years to make land available, the company has not been allotted any land, he said.

Mr Pai was speaking to reporters at the announcement of the company's third quarterly results. Traffic problems and the increased travel time in the city were collateral factors stunting the company's expansion in Bangalore, he said.

"Other centres are coming up faster. Bangalore's share in the growth of the company has come down over the past four to five years," he said. The company faces a similar paucity of land at Mangalore.

The company would be adding 16,900 seats across the country. Of these, only 2,500 will be at the headquarters in Bangalore. Infosys is present in nine cities - Bangalore, Pune, Chennai, Hyderabad, Bhubhaneshwar, Mangalore, Mysore, Mohali and Thiruvananthapuram. The total number of seats is 41,666, with Bangalore contributing the major number followed by Pune with 7,500 and Chennai with 5,000 seats.

Mr Pai said the company would add capacity in Pune and Chennai. It recently set up centres in Mohali and Pune. Mysore currently houses 3,000 seats. He said, "There will be significant investment in Mysore".

Referring to Kolkatta, the company hoped to set up an office there by next year, Mr Pai said. The company was also facing a delay in establishing an office at Chandigarh, where it had planned operations with a strength of over 4,500 employees. The reason cited was the delay in approval of the Special Economic Zone (SEZ).

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