1. Analytics is a $2 billion a year game for TCS
What's the news?
Tata Consultancy Services gets nearly $2 billion in revenue a year from analytics, the company’s CEO Rajesh Gopinathan told ET in an interview, making it the largest chunk of its digital revenue.
India’s largest IT company gets over 22% of its overall revenue from digital — a number that will be well over $3 billion for the financial year ending March 2018. This is the first time TCS has defined the contribution of the business segment that makes up the overall digital revenue figure.
What else is happening at TCS?
Large service lines like application development and maintenance, which contributed 38% of TCS revenue last year, were broken down into smaller units such as enterprise application services, cloud applications, microservices and APIfication.
Cloud infrastructure will be a separate unit. Each was given aggressive goals. Two other digital units, other than analytics, were also carved out, internet of things and automation. Gopinathan tasked the head of the company’s engineering services division — Reguraman Ayyaswamy — to head its IoT services and PR Krishnan, who formerly headed the infrastructure services division, was put in charge of automation services.
2. IBM and Convergys in the race to buy Intelenet
What's the news?
IBM and Convergys are among contenders said to be in talks for a potential $1.2 billion acquisition of Intelenet, an outsourcing company owned by Blackstone Group, the world’s largest alternative asset manager.
Boston-based private equity firm Bain Capital, which owns one-third of outsourcing firm Genpact, is also in the fray to acquire Intelenet as the Blackstone Group looks to sell the company a second time.
What does the deal mean for Blackstone?
If a deal does take place at the $1-1.2 billion valuation that some have pegged the price at, Blackstone will get a return of more than three times from a three-year-old investment or a 60% internal rate of return (IRR) in dollar terms, sources said. The average net IRR of Indian PE firms is 14.7%, according to data compiled by Preqin, a UK-based industry tracker. Blackstone has mandated JPMorgan to run a formal process to find a buyer, sources said.
3. Travis Kalanick on a new pitch
What's the news?
Nine months after his ouster from one of the world’s most-valued startups, Uber founder Travis Kalanick is all set for his second innings. Kalanick has launched a new fund for his personal investments in startups, for-profit, and not-for-profit work.
Interestingly, a large part of the investments from the fund, named 10100 (ten-one-hundred) will be focused towards innovations in India and backing Indian startups.
What is Travis Kalanick's plan?
Kalanick’s fund which will scout for innovative business models, is in line with his belief that San Francisco, Beijing, and Bengaluru remain the major innovation hubs across the world and places where he is likely to make his bets.
Kalanick joins a growing rank of global technology founders who have been increasingly making investments in the Indian startup ecosystem, albeit slowly. Facebook founder Mark Zuckerberg through the Chan Zuckerberg foundation holds a stake in edutech firm Byju’s while his co-founder Eduardo Saverin has made investments both personally and through his fund B Capital in baby care firm Hopscotch and fintech startup MSwipe respectively
4. Niti Aayog launches platform to aid women entrepreneurs
What's the news?
The Niti Aayog on Thursday launched a platform that aims to build a vibrant entrepreneurial ecosystem where women do not face any gender-based barriers.
The Women Entrepreneurship Platform (WEP) will act as a point of dissemination of information on existing government schemes and programmes besides initiatives in the private sector to promote women entrepreneurship.
How will WEP push the narrative?
WEP has tied up with a range of industry lobby groups and entities including Nasscom, SIDBI, FICCI, and CII, besides companies like Facebook that will provide ad credits to 100 selected women, and ShopClues, which will mentor 12 budding women entrepreneurs for a year.
Nasscom will provide infrastructure to 15 women-led startups across 10 states at a nominal charge. Through Nasscom’s women tech ship programme, it will also conduct specific acceleration programmes. Read more.
What's the news?
Tata Consultancy Services gets nearly $2 billion in revenue a year from analytics, the company’s CEO Rajesh Gopinathan told ET in an interview, making it the largest chunk of its digital revenue.
India’s largest IT company gets over 22% of its overall revenue from digital — a number that will be well over $3 billion for the financial year ending March 2018. This is the first time TCS has defined the contribution of the business segment that makes up the overall digital revenue figure.
What else is happening at TCS?
Large service lines like application development and maintenance, which contributed 38% of TCS revenue last year, were broken down into smaller units such as enterprise application services, cloud applications, microservices and APIfication.
Cloud infrastructure will be a separate unit. Each was given aggressive goals. Two other digital units, other than analytics, were also carved out, internet of things and automation. Gopinathan tasked the head of the company’s engineering services division — Reguraman Ayyaswamy — to head its IoT services and PR Krishnan, who formerly headed the infrastructure services division, was put in charge of automation services.
2. IBM and Convergys in the race to buy Intelenet
What's the news?
IBM and Convergys are among contenders said to be in talks for a potential $1.2 billion acquisition of Intelenet, an outsourcing company owned by Blackstone Group, the world’s largest alternative asset manager.
Boston-based private equity firm Bain Capital, which owns one-third of outsourcing firm Genpact, is also in the fray to acquire Intelenet as the Blackstone Group looks to sell the company a second time.
What does the deal mean for Blackstone?
If a deal does take place at the $1-1.2 billion valuation that some have pegged the price at, Blackstone will get a return of more than three times from a three-year-old investment or a 60% internal rate of return (IRR) in dollar terms, sources said. The average net IRR of Indian PE firms is 14.7%, according to data compiled by Preqin, a UK-based industry tracker. Blackstone has mandated JPMorgan to run a formal process to find a buyer, sources said.
3. Travis Kalanick on a new pitch
What's the news?
Nine months after his ouster from one of the world’s most-valued startups, Uber founder Travis Kalanick is all set for his second innings. Kalanick has launched a new fund for his personal investments in startups, for-profit, and not-for-profit work.
Interestingly, a large part of the investments from the fund, named 10100 (ten-one-hundred) will be focused towards innovations in India and backing Indian startups.
What is Travis Kalanick's plan?
Kalanick’s fund which will scout for innovative business models, is in line with his belief that San Francisco, Beijing, and Bengaluru remain the major innovation hubs across the world and places where he is likely to make his bets.
Kalanick joins a growing rank of global technology founders who have been increasingly making investments in the Indian startup ecosystem, albeit slowly. Facebook founder Mark Zuckerberg through the Chan Zuckerberg foundation holds a stake in edutech firm Byju’s while his co-founder Eduardo Saverin has made investments both personally and through his fund B Capital in baby care firm Hopscotch and fintech startup MSwipe respectively
4. Niti Aayog launches platform to aid women entrepreneurs
What's the news?
The Niti Aayog on Thursday launched a platform that aims to build a vibrant entrepreneurial ecosystem where women do not face any gender-based barriers.
The Women Entrepreneurship Platform (WEP) will act as a point of dissemination of information on existing government schemes and programmes besides initiatives in the private sector to promote women entrepreneurship.
How will WEP push the narrative?
WEP has tied up with a range of industry lobby groups and entities including Nasscom, SIDBI, FICCI, and CII, besides companies like Facebook that will provide ad credits to 100 selected women, and ShopClues, which will mentor 12 budding women entrepreneurs for a year.
Nasscom will provide infrastructure to 15 women-led startups across 10 states at a nominal charge. Through Nasscom’s women tech ship programme, it will also conduct specific acceleration programmes. Read more.
