HCL Technologies is also focusing on evolving into a next generation services firm, said CEO C Vijaykumar.
C Vijaykumar, President and CEO of HCL Technologies, said the company is focusing on modernising services and evolving rapidly into the next generation services firm.
"There are two things that we are focused on. One is modernising all our services and evolving rapidly into the next generation services firm ... mode three is about creating a product revenue stream which is very sticky, highly profitable. We are probably the only company headquartered out of India which is playing big in product space. There are select areas where we want to make an impact in the product space. I think we have done very well. We have made some investments in the last three years. They have delivered very good returns and then now we are trying to scale up and that is the acquisition that we announced and some of these products are core to our clients’ business. We believe some of these products will need a lot of support, not of modernisation and that is going to create a momentum by its own,"said Vijaykumar on the sidelines of the World Economic Forum (WEF) 2019 underway in Davos.
Speaking about the big bets he has made in the last three years and the future investments, he added, "We took a very different approach. We took over existing products with a lot of revenue streams and very loyal customer base and we are modernising them. So it takes a lot of risk out of the equation and that is what we have seen, we have done product development over the last two years for many of the products that we acquired and each one of them have done so well."
"In the last quarter, we crossed the billion dollar runrate, this new acquisition will add another 650 million, annualised revenues and we continue to invest in creating organic products. We come from a very strong product engineering DNA and we are trying to build on top of it like we have products around AI, automation which is very core to our infrastructure and IT outsourcing opportunities. Some of that is getting productised and we are creating a channel to sell products as a part of this whole initiative," said Vijayakumar.