Infosys Aims To Double Revenues By 2017

IT giant Infosys aims to double revenues from its energy and telecoms verticals by 2017. The firm is looking to utilise opportunities in the upstream oil and gas segments in the US and grow its presence in the European telecom market.

“More than 50% of the investments will be in upstream, with the balance being divided among midstream and downstream,” said Rajesh Krishnamurthy, segment head of energy and communications unit of Infosys. “Midstream will be more about reinvigorating some of the dilapidated infrastructure that still exist in some of the refineries where you can increase production by leveraging some of the new technologies,” said Krishnamurthy.

“I am pretty confident that we can get to the target of a billion dollars in the next three to five years without making any acquisition. I am saying this purely on an organic basis,” he told The Economic Times.

The firm’s focus on the two business verticals comes at a time when its rivals like Wipro and TCS have built a dominant position in the energy and telecom space, respectively. On the other hand, Infosys has not been able to become a dominant player in these sectors.

Some experts question whether Infosys’ strategy to catch up with rivals would yield results even as the US is poised to become a net exporter of oil. “It is arguable if its strategy will pay. Already, Wipro has a big presence. But Infosys is still fighting to retain mid and senior-level talents,” said the head of a Mumbai-based brokerage firm.