Infosys CEO S. Gopalakrishnan says the worst seems to be over for the world economy. Although offshoring budgets are likely to remain flat in 2010, it is better than last year, when clients slashed IT budgets to stay afloat in the economic downturn.
On whether the worst is over
It seems to be. There is a clearly a signs of a recovery. We added 32 clients during the quarter At this moment, it appears to be a slow recovery and there could be small shocks along the way. It is better to be cautious.
On next year's IT budgets of prospective and existing clients
The budgets would remain flat next year compared to this year. But they are going to spend more from the same amount. That is the reason why believe we should see a pick up in the offshore (software services) sector.
On hiring plans
We made net addition of 4,429 employees during the quarter. We will hire 6,000 more people in the current quarter.
That will bring our total hiring to 24,000 during the year (2009-10). We plan to make 15,000 campus hirings in
2010-11. We will give our total hiring plans for next year in April.
That will bring our total hiring to 24,000 during the year (2009-10). We plan to make 15,000 campus hirings in
2010-11. We will give our total hiring plans for next year in April.
On bread-and-butter banking and financial services (BFSI) sector
One of the reasons we are seeing better prospects for information technology services is that banking and capital markets as a vertical is doing well. Global economic recovery seems to be led by the US and the financial services.
Even though information technology budgets are expected to be flat in 2010, offshore outsourcing is expected to benefit from this recovery.