Of the 13 IT-services companies that are mentioned in BusinessWeek’s Info Tech 100 list released this week, eight are American companies and five are Indian. Cognizant, an Indian company listed and headquartered in the U.S., has been taken as an American company. (See Table for the entire listing.)
America’s Super Eight
The study positioned Accenture at 16th place (above all the other IT-services companies). With a nine percent growth rate, the company’s revenue presently stands at $19,529.9 million. Accenture “has lowered its costs by hiring people in India and beefing up its expertise in various industries,” says the report.
Recently, the company announced that by 2010 it plans to invest more than $250 million in tech consulting services. It presently employs more than 152,000 employees, and has presence in America, Asia Pacific and EMEA.
Moreover, with a 66% return on equity Accenture has emerged as the fifth most profitable company. TCS, the Indian IT-services giant, was the other services company that made it to this category, with 46.1% of return on equity.
IBM, another U.S. company, was at 21st place. The company’s revenue is $92,793 million — the third largest amongst the 100 listed by BusinessWeek. IBM prefers to call itself a services company while its software unit has been driving the company’s sales and profit growth. However, the revenue growth rate of the company is only four percent — much lower than the other companies present in the list.
Other American tech-services companies that made it to the list are Fidelity (placed at 58th place), SAIC (placed at 69th position), Cognizant (placed at 70th position), ADP (placed at 87th position) and Alliance Data (placed at 93rd position).
India’s Strong Five
Amongst India’s strong five that made it to the list, TCS is at 23rd position. With a strong growth rate of 42%, the company’s current revenue stands at $4,186.6 million. The company was also ranked amongst the top 10 most profitable companies globally.
The company’s focus on larger deals and the non-U.S. market is likely to take it ahead. Moreover, TCS is now not only focusing on low-end services contract but also on software and business processes, according to BusinessWeek.
Other Indian tech-services companies named in the list are Infosys Technologies (ranked at 30th position), Wipro (ranked at 49th position), HCL Technologies (ranked at 76th position) and Satyam (ranked at 73rd position).
Satyam has announced its plan to strengthen its presence in Vietnam by opening a development center by 2009, according to the study.
The study is based on the findings from the IT companies, which must have at least $300 million of revenue, across the world. The companies were ranked on four criteria: Return on equity, shareholder return and revenue growth (which were given equal weightage), and total revenues (which was weighted).
Table
| Company |
Country |
BusinessWeek Rank |
| Accenture |
U.S. |
16 |
| IBM |
U.S. |
21 |
| TCS |
India |
23 |
| Infosys |
India |
30 |
| Wipro |
India |
49 |
|
Fidelity National Information Services
|
U.S. |
58 |
| SAIC |
U.S. |
69 |
| Cognizant |
U.S. |
70 |
| Satyam Computer Services |
India |
73 |
| HCL Technologies |
India |
76 |
| ADP |
U.S. |
87 |
| Alliance Data Systems |
U.S. |
93 |
| Fiserv |
U.S. |
97 |
