Peter Bendor-Samuel

INFY’s December 2013 quarterly report demonstrates that Murthy’s back-to-basics strategy is starting to show fruit with Infosys upping its guidance for both revenue and earnings. Its year-over-year revenue growth of 9.8 percent is encouraging; however, when we compare it to the performance of industry leaders TCS and Cognizant, it is clear that there is

The lack of innovation from service providers is a constant and mournful refrain echoing around the industry. This plaintive and mournful dirge reminds me of Sisyphus, who was cursed to endlessly roll a boulder up a hill, only to watch it tumble back down, never achieving satisfaction. Likewise, the unending efforts of service providers

The cloud revolution is breaking down walls surrounding existing outsourcing arrangements. In fact, the business case for some outsourced workloads crumbles in light of opportunities in the cloud. In a traditional data center or IT outsourced infrastructure model, you pay for the capacity 24/7; but in a cloud environment, you pay only for what

To date the cloud has not been a major disruption in the traditional outsourcing market. Rather, cloud has attacked the rogue IT or departmental processing market. But we believe that this tide will now turn inward onto the enterprise space, where HP and other infrastructure players live. How will HP take on cloud disruption?

You’ve heard it … read it in the news … and probably even participated in the discussions about it. “It” is the impact of the cloud model on the third-party service provider marketplace. What are the cloud’s potential disruptive effects? As the cloud and outsourcing meet head on, will the cloud make hiccups or

The spooky orchestral background and thriller tagline — “Just when you thought it was safe to go back in the water…” — from the 1978 hit movie “Jaws 2” brings out our primal fears that something can attack us even though all appears to be safe and when we least expect it. That’s what

We just witnessed one of the most spectacular examples of where choosing a service provider based on the lowest price can be a really bad idea. The Obama administration’s recent about-face in contracting with Accenture to take over for the incumbent CGI on the beleaguered healthcare.gov website is a vivid reminder that low price

“Have we reached the end of globalization?” Fareed Zakaria, the host of CNN’s weekly international affairs show, asked last week. He points to two factors — 3D printing and the rise in protectionist policies — as forces that combine to challenge the globalization movement of the last 30 years. From a services perspective, we

Cognizant recently made two key announcements. One was that they are hiring 10,000 people in the United States. The other is that they are relocating their operations center from New Jersey to College Station, Texas. Taken together, it’s evident that Cognizant is doubling down on its U.S. presence. It’s moving to low-cost locations and

Everest Group’s ongoing analysis of global service providers’ performance revealed some notable market shifts in the most recently reported quarter. We note especially that Wipro seems to be righting its ship. Although its growth previously had lagged its peers and the industry, the last quarter evidenced higher growth. As the chart below displays, Wipro