Infosys (INFY.NS) cut the upper end of its annual revenue forecast on October 12, raising concerns about near-term demand for services provided by the US$245 billion Indian information technology sector. The No.2 Indian software services exporter said it now sees full-year revenue growth at 1-2.5%, excluding foreign exchange volatility, versus a prior view of 1-3.5%.
Considering the reluctance by clients to spend on discretionary projects, Peter Bendor-Samuel, CEO of Everest Group, said, “We continue to see a significant amount of market hesitancy resulting in delayed revenue. This is driven by uncertainty about the economic cycle and the increasing conviction that a recession is likely in 2024.”
