AT&T, T-Mobile deal to benefit Indian IT vendors

[ChromeFoundry]

Source: The Economic Times of India

22 Mar, 2011, 06.33AM IST

BANGALORE: Indian outsourcing vendors like Infosys, Cognizant and Tech Mahindra are set to gain new projects worth hundreds of millions from AT&T's acquisition of T-Mobile, as the two telcos seek to integrate their systems and lower their operational costs.

While Tata Consultancy Services , Infosys, Wipro and Tech Mahindra count AT&T among their top customer, multinational rival Cognizant counts both AT&T and T-Mobile among its key clients. Infosys too works with both the telcos, people familiar with recent outsourcing decisions taken by AT&T and T-Mobile said.

New outsourcing projects after AT&T receives necessary regulatory approvals could include integration of billing and customer systems apart from consolidation of other operational support systems. "We are still watching this; as of now, it's business as usual. But consolidation and M&A is a good news for IT business, there are always systems to be stitched together," said a top official at one of the companies working with a US-based telecom customer.

Over past few years, Indian outsourcing vendors have seen business from telecom customers come down as telcos such as BT Plc trimmed their budgets and chose to work with more vendors at lower rates. BT, which once was Infosys' top customer contributing some $300 million every year in revenues is now down to almost $100 million a year.

Read more: http://economictimes.indiatimes.com/tech/ites/att-t-mobile-deal-to-benefit-indian-it-vendors/articleshow/7759267.cms

[msongs]

1. so is there a way to block this merger on competition grounds? hmm nt

[Sherman A1]

6. We can send emails to both Congress & whatever agencies

might be appropriate, but I suspect this is pretty much a done deal beyond the window dressing of hearings and such.

[sakabatou]

2. And as for the US?

Nope, gonna get screwed.

[PSPS]

3. It will also benefit the billionaire CEO, who probably pays little or no taxes.

Just shave a little off as bribes "campaign contributions," and it will be another perpetual money laundering machine for the corrupt politicians.

[freshwest]

4. I really have to consider another carrier. Thank goodness for number portability.

[OhioChick]

9. Bingo! n/t

[aquart]

5. How nice.

[Anakin Skywalker]

7. Hope some teabaggers lose their jobs, but then again they will just blame the government!

Since the Free Market is an infallible God!

[Norrin Radd]

11. My girlfriend works at T-Mobile HQ and may lose her job.

And she is the opposite of a teabagger. That company is a left-leaning one.

[Skittles]

8. why India?

there are many countries they can pimp off American jobs to, and from my experience, India performs very BADLY

[Name removed]

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