The Hindu Business Line : Rising Re: Infosys turns focus on Europe

Bangalore, Jan. 11 In an attempt to reduce dependence on US clients for revenues, in the wake of an appreciating rupee, Infosys is looking at other geographies with keen interest. The company sees great potential in the markets of Europe, Latin America, South America, and India.

The company’s third quarter results show that contribution from Europe (from countries such as Poland, Germany, the UK, Switzerland and Belgium) has increased to 28.6 per cent in the third quarter of this fiscal from 26.8 per cent in the previous third quarter and 27.4 per cent in the second quarter of 2008.

“Initially our focus will be on Europe. We will be casting our net far and wide. Other geographies we are looking at are Australia, Japan, China, India, Latin America and South America and West Asia,” said the Infosys CEO and Managing Director, Mr Kris Gopalakrishnan.

“Finacle has been winning more deals in Europe, which is the second largest IT spending region. The UK, Germany and France are large IT spending markets. Finacle has also got significant wins in Australia, West Asia and India,” he added.

Exciting market

Infosys views Latin America as an exciting market whose time has come. As a first step towards a Latin American foray, the company set up a development centre in Mexico four months ago to cater to Spanish speaking clients.

Increasing IT spending in India is also cheering Infosys.

Domestic spending

Overall IT spending in India is $5 billion. Although this is small for a global perspective, Mr Gopalakrishnan said domestic IT spending is steadily increasing, thus providing opportunities to create business out of India.

Last year, the company set up a unit focussed on India since the Indian market requires “specific solutions and services.” Although it’s still early stages in India, the company has been bagging some significant deals here.

Contribution from North America to revenues in the third quarter of this fiscal was 62.3 per cent (63.2 per cent).

More Stories on : Outlook | Forex | Infosys Technologies Ltd | Software

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page