India’s outsource giants feeling the pinch
ndia’s outsourcing giants are suffering sluggish growth in contrast to record-breaking spending on global services in 2008.
The country’s big three outsourcers Infosys, Tata Consultancy Services, and Wipro experienced slow revenue or income growth in their just-announced quarterly results for the period that ended June 30.
The results fly in the face of figures in the quarterly index by outsourcing adviser TPI, which shows global spending on outsourcing is on track to break records in 2008, with Europe forging the biggest contracts.
All three of the Indian outsourcers blamed challenging global economic conditions, with Infosys warning the next quarter may continue to be difficult as companies postpone decisions on outsourcing.
