Infosys’ new CEO and technology visionary Vishal Sikka on Friday said his primary responsibility was to restore confidence within the company by driving innovation and intellectual property-led growth. As part of this, Infosys will begin a new journey joining hands with start-ups and new-age entrepreneurs by putting to use the $100-million corpus that it has put together specifically for this purpose. Sikka, however, added that he has no plans to convert Infosys into a software products firm but instead retain its high margins as a software services player.
The move to help start-ups is very significant and signals the arrival of a new innovative spirit within the $8-billion IT services behemoth, which has thus far been hesitant to spend its considerable resources on such potentially risky pursuits. Sikka said there will be additional focus on non-linear growth that would come from use of IP and software as a service model. “But that won’t make us a products firm,” he said.
Talking to FE on the sidelines of a luncheon meeting here on Friday, Sikka said he would want to immediately delve into the $100-million corpus and help drive the highest class of innovation at Infosys. “We would like to help start-ups achieve scale quickly. And we are not just stopping with India. We will be happy to help any interesting start-up around the world,” he told FE. Infosys has not dipped into this corpus yet. “Hope we can start soon,” he said.
Infosys chief financial officer Rajiv Bansal was at hand to chip in. “We don’t want technology innovation to be limited by geographical boundaries and hence this will be a global outreach programme. Infosys may pump in equity into some of these start-ups and in some other cases we may want to be a research associate,” he said. “The idea is not just to make money out of investing in these projects. Equally important for us would be the learning. There is a lot to learn from young entrepreneurs around the world.”
The IT major in April last year had announced this $100-million fund to invest in products and platforms. IT services engineers across the globe have been clamouring for such exciting opportunities to work with start-ups.
Often, they leave large IT firms in search of these start-ups, many of which are into cutting edge innovation and research. “We want our engineers to have the same innovative bent of mind. A day should come