Looking to ChinaBy Reuters | Print
Customers are still cautious when it comes to technology spending, focusing on transformational projects with budgets that are flat to slightly higher, according to software services exporter Wipro Ltd.
Wipro, majority owned by billionaire Chairman Azim Premji, who mostly travels economy class, was starting to see business pick up in China, said Bejar, who acknowledged that business growth in the world's fastest growing major economy had been slower than expected.
"Our experience has been very positive with local talent," she said. "Local business has been a little tougher. It's something now that's been beginning to pick up ... (but) that has taken a lot longer than probably we had initially anticipated."
Europe accounted for 25.4 percent of the company's revenue in the June quarter, down from 26.3 percent in the previous quarter, while the U.S. brought in more than half of its revenue in the latest quarter.
By contrast, emerging markets in Latin America, Asia and Africa are still a relatively small part of Wipro's business, accounting for 7 percent or less of revenue, as domestic companies in those markets are still reluctant to fork out big money on major IT projects.
Wipro employs about 600 people in China at two centers, one in Shanghai and the other in Chengdu. But those numbers are a far cry from the thousands that IT outsourcing companies were expecting to employ in China when they set up operations in the country over the last six or seven years. (Reporting by Doug Young; Editing by Don Durfee and Chris Lewis)