Global IT Services growth in 2012 down to 2%

 

 

Gartner’s latest report says that the global IT services industry grew by 2 percent in 2012, down from 7.7 percent in 2011. The report also mentions that the top Indian IT service providers grew faster and Cognizant has overtaken Infosys as the number 2.

 

The top five Indian providers* grew 13.3 percent to reach $34.3 billion in 2012, exceeding the IT services industry growth of 2 percent according to Gartner, Inc. The growth decelerated for both industry groups, from 21.8 percent and 7.7 percent, in 2011.

“Cognizant displaced Infosys to become the second-largest Indian IT services provider (see Table 1), and Cognizant experienced the highest growth rate among the top five providers with an increase of 20.1 percent in 2012,“ said Arup Roy, research director at Gartner. ” TCS closed in on the top 10 worldwide market share leader, with less than $1.5 billion separating it from the 10th ranked provider, Hitachi.”

Indian IT Marketshare

Image via Gartner

 

 

See the original report here.

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IT hiring in India reflects strong future growth

IT companies are hiring heavily at engineering campuses across India, with many students receiving multiple offers.

Take the case of Amrita University which has campuses in Bangalore, Coimbatore and Kochi. India’s second largest IT exporter Infosys and Nasdaq-listed Cognizant shared the first slot. While Cognizant picked up 1,263 students, Infosys went for 1,255. Around 970 students had common offers and finally, 83% of them opted for Cognizant while the remaining chose to go with Infosys.

However, this does not tell the full story.  Students who receive an offer today will likely join jobs after another year. After joining the job, most fresh engineers receive 3-6 months of training before they join projects. Thus the hiring of today reflects the projected demand for IT services, 1.5 -2 years into the future.

During 2011, over 4.3 lakh fresh engineering graduates are expected to pass out with 2.5 lakh will be graduates with an IT degree, says industry lobby Nasscom. However, not all of them are directly employable and hence the huge scramble for talent at top colleges. Companies know this and are making a beeline for the top-level talent.

via Recession? IT cos hire in large numbers – The Times of India.