competitive Advantage

competitive Advantage

Monday, July 11, 2011

Low Cost IT will prevail...

As America's top outsourcing customers aim to restore profits amid rising oil prices and weak consumer demand, they are asking Indian IT tech firms to do more with less -


Billing rates for back office, software development, Remote Infrastructure Managment  and maintenance projects are already down by up to 15%.


Over the past few months US retailers Walmart and Home Depot , apart from Cisco , Ericsson and insurance firm AIG , have cut rates that could see profit margins for top tier IT companies like TCS , Infosys & Wipro and others fall by 1-3 % this quarter.


Also see September blog - We saw this coming almost 9 monts back ....
http://itservice-aj.blogspot.com/2010/09/low-cost-it-price-hike.html


-Cheers

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