Infra Service Can’t Bring Home the Bacon for HCL

HCL Technologies needs to rethink its strategy as its fastest-growing vertical, infrastructure services business, has been slowing down with clients shifting to cloud technology , experts said, suggesting increased investment to push other businesses at India’s fourth largest information technology company. The Noida-based company’s infrastructure management services (IMS) business, which manages computers, does software upgrades, provides anti-virus protection for clients and scales it up to manage data centres and networks, accounts for over $1 billion (about `6,200 crore) revenue.

“The real money is in application services, and HCL is weak in this business. Unlike its peers, it is underpenetrated in terms of intellectual property ,“ said Sanchit Vir Gogia, chief analyst and group CEO, Greyhound Research.

To read the Full Article, click here: Economic Times

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