Infosys welcomes competition

HYDERABAD: Infosys Technologies Ltd chairman NR Narayana Murthy today welcomed competition from other players who use his firm's global delivery model.

“Global MNCs like Accenture, IBM, etc., who are expanding their Indian operations, are now playing our game using the global delivery model. We invite this competition,” Murthy told reporters at a press conference. He added that Infy was widely respected because of its performance.

In an apparent bid to respond to Wipro chairman Azim H Premji's comment that Wipro's business model was superior to Infosys's global delivery model, Murthy said nobody could initially realize a model's potential. However, global MNCs are currently using Infy's model to expand their Indian operations.

Premji had on July 22 said that Infosys was still struggling with its global business model, whereas Wipro was clear about its path.

He had said: “I think, Infosys is still struggling with its global delivery model due to the increasing verticalization of its businesses. Whereas, we are clear on what we want to do," Premji had told reporters during a media briefing regarding the company's financial results for Q1 (April-June) of FY 2005-06 in Bangalore.

Murthy also said that Infy has plans to expand its operations in Hyderabad. Apart from adding 150 - 300 acres of land to the existing 50, the IT major would also add 5,000 more people in two years.

Murthy said, “Hyderabad is going to be on the front burner and certainly we will look at expanding. This campus can house additional 5,000 people, which we will do it in the next 18 to 24 months.”

The company started its operations here in April 2000 and presently houses around 4,000 employees. The center focuses on verticals including banking and capital markets, hi-tech and discrete manufacturing, retail, consumer products and distribution, etc.

Murthy further added that Bangalore will enjoy its present status. “Centers in Hyderabad, Chennai, etc., are the equally leading developing centers and we continue to expand our presence in these centers.”

The company also said that it would also consider upcoming cities like Vizag in its expansion strategy.