Indian IT firms gear up for deal renewals of over $100 billion

The research and outsourcing advisory firm ISG said that that large tech customers such as Deutsche Bank, UBS, Mitsubishi, National Grid, UK’s Network Rail, Vodadone have billion-dollar engagements with Indian IT firms, all of which will come up for renewal.


The Indian IT industry is likely to receive renewal deals of outsourcing contracts worth more than $100 billion during 2016-2017, as per a business daily.

The research and outsourcing advisory firm ISG said that that large tech customers such as Deutsche Bank, UBS, Mitsubishi, National Grid, UK’s Network Rail, Vodadone have billion-dollar engagements with Indian IT firms, all of which will come up for renewal.

“The competitive intensity is going up in the industry and hence the pressure on pricing levels will continue. The scope and construct of the deals are also changing with infrastructure delivery models becoming hybrid (mix of cloud and on premise) quite frequently,” Dinesh Goel, partner and India head at ISG was quoted as saying.

“Around US$70 billion worth of IT deals are coming up for renewal in the next 18 months with majority of them being in the re-bid category,” CFO M.D. Ranganath had said in November.

The tech giant has won at least 10 large deals with total contract value of over $50 million in last one year. It includes deals from Deutsche Bank, Mercedes-Benz and the Goods and Services Tax Network (GSTN) in India.