Is Cognizant better than Infosys
India's three top-selling providers - Tata Consultancy Services (TCS), Infosys Technologies and Wipro - are gaining ever larger market shares. According to surveys by Forrester Research, their share of the Indian IT service market in the fiscal year ended March 2008 totaled 46.4 percent. A year earlier it was 40 percent. With their growing range of higher-quality services, companies can now compete with the big multinational players, believes Sudin Apte, senior analyst at Forrester.
In addition to the positive sales development, TCS, Infosys and Wipro are also more profitable than their smaller competitors on the subcontinent and generate more income per employee, according to Apte. Thanks to their ability to increase productivity and a focus on innovation, they are able to further increase their sales without hiring a lot of additional staff.
The second largest group of providers in the Indian IT service market are Cognizant, Satyam and HCL Technologies. You have specialized in selected industries. According to the analyst, they could easily fall victim to takeovers. The majority of the small and medium-sized Indian providers are growing comparatively slowly and only making meager profits. These providers are not very interesting for mergers because they lack specialist knowledge or access to a dedicated customer base. (sp)
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