Enough this outsourcing money making . The age is ripe and probably calling to be rotten to think beyond maintenance,billing,24X7 ,etc. IBM had a tough time to switch themselves out of hardware business in the early 90's.Don't let that happen to Infosys. The future of Infy,TCS,Wipro and other biggies is dim for the simple fact that services can be done in small sizes.So get innovative and invest in R&D to make products that can compete with the likes of Intel,Microsoft,Apple. otherwise you are going to bit the dust soon.
RE:High time Infy start being innovative !
by Sameer Bhagwat on Jul 12, 2008 08:43 PM Permalink
Fools on this board don't relaize that the moment Infy or TCS start producing products nobody will Outsource as you will start com,peting with the rest of the world in that space. If they start doing it there will be a severe downturn, are we ready ofr a downturn?Outsourcing will come to a complete halt.Its not that they can't make products, its just that the market dynamics don't allow it.
RE:High time Infy start being innovative !
by Sameer Bhagwat on Jul 12, 2008 08:46 PM Permalink
Also Indias strength and wekness prehaps is its population. The moment you start making products you need less volume and more capable workforce. India has volume and like it or not, thousands will be out of a job. So think of the market dynamics and then talk. YOu thin nfy and TCS don't have brains to make products?
RE:High time Infy start being innovative !
by Farokh on Jul 12, 2008 09:45 PM Permalink
Dear Sameer, I have serious doubt about your understanding of global IT market. Service sector is and will always be under cost pressure. If indian biggies really want to make significant progress, they have to concentrate on the products. There is no reason to beleive that outsourcing will come to halt if these companies enter into products. These companies can have seperate service and product divisions. Take example of SAP. SAP AG is a product company while SAP America or SAP india are service companies. Its the business model that these copanies have to develop.
RE:High time Infy start being innovative !
by IntelligentEnterpris Interface on Jul 13, 2008 05:11 PM Permalink
I agree with you Farokh. This guy Sameer has 'nil' understanding about the dynamics of IT business and on top of it he is behaving as a know all of everything. Mr. Sameer, who gave u this impression that Product and Service business is mutually exclusive? A company of stature of Infy, TCS can set up a product division and manage it as a seperate business/division. Its basically moving high up the value chain and also hedging a lot of your revenues against risk (pricing, currency fluctuations,costs,competition from south east asian countries etc.).
RE:High time Infy start being innovative !
by ebguy on Jul 12, 2008 10:52 PM Permalink
IT outsourcing in long term is not viable. This is a total hype & they are looking around to find cheap labor. Cost reduction and nothing else. Its a modern day slavery. Bring cheap labor describing it as a global trade. If people remember what was Phillipines, Indonesia in 80's (They were cheap manufactring hubs). Its not going to work in long term.
