Wipro Infotech, the Asia technology arm of Wipro Technologies, is looking at closing a few deals in the Middle East and India worth $100 million each. The company is expecting a growth of 50% from the Indian market, and a three-digit growth from the Middle East.
Anand Shankaran, chief executive, Wipro Infotech, says, ?We are looking aggressively at the Middle East and Indian markets and we expect to close a few deals in this geography. In the Middle East, we are largely targeting telecom, infrastructure and real estate that are growing rapidly.?
The company has earlier entered into a five-year contract, worth over $100 million, with Saudi Airlines. He said about 24% of the company?s revenues come from the Middle East and India, and of this, India contributes 85%. Wipro Infotech revenues in the last quarter grew at 41% to Rs 1,096 crore.
Analysts feel the wealth from soaring crude prices and initiatives from the government are the driving factors for increased demand of IT services in the Middle East. Harit Shah, an analyst with Angel Broking, says, ?Almost all the companies have had a presence in this market and with the oil prices going up, the market in the Middle East is opening up for IT companies.? Viral Thakker, director?IT advisory services, KPMG India, says, ?The governments in the Middle East are looking at investments and this is pushing growth in this region.?
Analysts say many companies are focusing on the ME telecom market because with the sub-prime crisis and currency fluctuations, telecom companies in the US and Europe are looking at long-term contracts with lower pricing.
