HCL Technologies has taken an unconventional route to partially offset the slowing down of its traditional workhorse – infrastructure management services (IMS).
India`s fourth-largest IT services firm has pumped $780 million into five intellectual property (IP) partnerships with IBM. The spend on these IP deals, signed over the last five quarters, surpasses the company`s capital expenditure in the four years beginning 2013-14 ($695 million). The partnership has so far yielded revenue of a little over $200 million.
Jimit Arora, who leads Everest Group`s IT services research practice, said in the future of IT services, ecosystems will be key to the relevance of companies. He said a variety of models will evolve, including frenemies / competitors.