As per the company estimates, the revenues from services based on the IP developed indigenously are likely to exceed target this year. Mindtree has estimated that by 2005, 40 per cent of its revenues will come from services around IP.
Speaking to The Financial Express, Mindtree Technologies senior vice president Vinod P Deshmukh said the company was keen to use its IP strategy to generate service revenues. With clients expecting immediate solutions with minimal downtime, the strategy to devise solutions in a set timeframe based on readymade blocks was paying off in tough times like these, he added.
Mindtree Consulting currently has two key areas under ITe-services and engineering (technology) services (under which the regular and services around IP function), with engineering services accounting for one-third of total Mindtree revenues.
On the product realisation services, he said that it was more than just focusing on building IP. Mindtree currently has close to 14 customers being handled in the engineering services division. We dont want to be in the IP licensing game, but want to offer value addition using our IP as building blocks. So the focus quite really is in what we can build with the IP, Mr Deshmukh said.
Interestingly, Mindtree has already set the ball rolling with a number of new product development initiatives. The company has developed a PDA for a US-based customer for a World Bank-funded project and has tied up with a Japanese giant and handset maker to integrate a Bluetooth stack into the GSM/GPRS handset and also collaborate on the research front.
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