The National Association for Software and Services Companies (NASSCOM) says the IT industry’s revenue growth has come down to less than 15% at the end of last financial year in March—it was more than 30% seven years ago. Many analysts think even this figure of 15% may be exaggerated.
"The Indian IT industry growth slows down" is the current buzz. As the US and Europe take steps to retain their IT jobs on shore instead of depriving their population of these jobs and sending them off shore to India, even large Indian companies such as the TCS and Infosys have recorded shrinking profits from the outsourced IT services they provide to foreign companies. As a result, many outsourced service providing companies have begun to deal in Big Data and in software programming instead to compensate for their profit loss.
Companies “are not pouring incremental money,” into their IT infrastructure, said U.B. Pravin Rao, the chief operating officer of Infosys, at a Nasscom leadership conference in Mumbai. “Earlier we used to see increases in technology budgets. But today, it’s unheard of.”
In the conventional outsourcing work pattern, multitudes of programmers were stationed at company sites around the world. Working in sync with coding professionals in India, they focused on piecing together the codes and maintaining systems built around software from global software companies such as SAP and Oracle Corp.
The Indian industry is now forced to move towards having fewer basic code writers but more statisticians and specialist programmers who can create branded software.