Company says new govt is likely to adopt technology faster
Tata Consultancy Services, India’s largest information technology (IT) services company, said on Saturday it was expecting its local business to pick up faster on anticipation of increased spending on technology by the new government at the Centre. The company also said though the rupee was appreciating against the dollar owing to the decisive mandate in the Lok Sabha elections, only a volatile currency could be a cause of concern.
“I expect the India business to pick up with the kind of mandate the Bharatiya Janata Party got on Friday. I do expect that the new government would adopt technologies faster, while we will see a revival in corporate spending across the board,” N Chandrasekaran, chief executive and managing director of the Mumbai-headquartered company, said. Among Indian IT services companies, TCS has a fairly high degree of exposure to the local market, from where it derives around seven per cent of revenue. However, the region has been under pressure in the past couple of quarters due to the slow pace of technology spending in the country. In the quarter ended March, the company’s India business posted a growth of 0.3 per cent.