The domestic services market grew at a healthy 31% in 1999-00
over the previous year. Out of IT services, software and education services grew
at a faster clip than hardware services. The top vendors in hardware services
remained Wipro and CMC. The latter continued to provide maintenance support for
more than 40 different vendors. Among the major sites supported by CMC for
systems maintenance were National Stock Exchange with the Stratus machine and
Bombay Stock Exchange with the BOLT systems. The total value for the maintenance
of these sites exceeded Rs 10 crore. Other top hardware service vendors were HCL
Infosystems, IBM Global and CMS Computers. In the case of IBM Global, strategic
outsourcing accounted for Rs 29.7 crore and technical services accounted for Rs
18.7 crore.
Service Market Segmentation |
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1999-00 Rs lakh |
1998-99 Rs lakh |
Growth % |
|
Hardware services |
|||
Own systems maintenance | 50,150 | 42,500 | 18 |
Third party maintenance | 63,707 | 47,999 | 33 |
Facilities management | 4,375 | 3,500 | 25 |
Total | 118,232 | 93,999 | 26 |
Software services |
|||
Custom SW development | 114,536 | 82,461 | 39 |
Turnkey projects | 125,485 | 94,350 | 33 |
Consulting, others | 54,720 | 45,633 | 20 |
Total | 294,741 | 222,444 | 33 |
Education services |
|||
Corporate training | 10,207 | 9,805 | 4 |
Indiavidual training | 145,854 | 109,550 | 33 |
Total | 156,061 | 119,355 | 31 |
Similar to previous years, turnkey projects consisted of
system and network integration projects. The top systems integration vendors in
1999-00 were IBM Global, CMC and Aptech. The main application areas for system
integration were ERP, documentation, customer billing, banking, CRM and
e-governance. Among the top projects were ERP implementation at ONGC, Sahara
India, Larsen & Toubro, Asian Paints, Thermax, Havell’s India, ITC Hotels,
Shyam Ahuja and Sterlite. The ERP vendors involved at these customer sites were
SAP, i2 Technologies, Ramco Systems, Baan and Intentia. A new face on the scene
was Eastern Software Systems with its three-tier ERP application called MakESS
targeted at the SME segment. The major customers for MakESS in 1999-00 were
Delhi Metro, Baroda and Sugam Dairy, Chennai Municipal Corp, SSD Oil Mills,
Ortel and Eurotherm. The central and state governments were also active
commissioning various multi-technology and multi-vendor projects. Some of the
top projects in the government sector included, RBIs cheque processing system
from IBM, Bankflow from Datanet for M Visvesvaraya Cooperative Bank, ECIL’s
online processing system for Chennai Municipal, document management system from
ECIL for NTPC, national card system from TCS for Ministry of Home Affairs and
computerization of Punjab state’s tax department.
The top network integration vendors in 1999-00 were Crompton
Greaves, Wipro and Hughes Escorts. The main application areas were enterprise
networking, ATM and branch office networking for banks, ISP infrastructure, call
centers, computer telephony and ecommerce.
Top
Hardware Service Vendors
Some of the biggest projects in network integration involved
networking of banks including enhancement of ATM networks and internet banking.
CMC was involved in branch networking of Bank of Baroda, the Andhra Pradesh
state government and upgradation of the ERNET network. HCL Comnet set up a
hybrid WAN for the Bank of Madura, and both Indian Bank and HDFC Bank signed up
for BASE24 software to enhance their ATM networks. The corporate segment also
chose to expand its WANs through VSATs. Telstra V-Comm implemented a VSAT
network for ONGC, Bharti BT did it for SRF Ltd, and Hughes Escorts for Jammu
& Kashmir Bank. Financial institutions also sought to make their networks
more robust. Both National Stock Exchange and Stock Holding Corp sought to
implement Unicenter TNG from Computer Associates for improved network
management.
Top |
||
Rank | Vendor | Value (Rs lakh) |
1 | IBM Global Services | 10,191 |
2 | CMC | 7,767 |
3 | Aptech | 6,492 |
4 | PSI Data Systems | 1,580 |
5 | Tata Infotech | 1,161 |
6 | Datapro | 983 |
7 | CMS Computers | 560 |
8 | Pentasoft Technologies |
433 |
9 | SGI | 248 |
10 | Intelligroup Asia | 246 |
Another important application area was call-centers and
computer telephony integration. Servion Global Solutions received orders from
ICICI Bank and Timesbank, and Hughes Software from Tata Donnelly. Apollo
Hospital sought DoT assistance to implement a telemedicine project, amongst
others.
Top Network Integration Vendors
The development of private ISP infrastructure was also
responsible for a number of network integration orders. PCS Industries received
an order from Netvision Telecom, Euclid from Rising Sun and HCL Comnet from
Caltiger.
In 1999-00, close to 80,000 India-based web sites were germinated. However,
only a miniscule few deployed ecom applications on them. With the corporate
segment realizing the importance of web business and the exponential growth of
net users, a substantial share of networking orders is likely to come from this
area in the future. Also, with new technologies like server-based computing,
remote access and wireless computing, the demand for IT services is likely to
change dramatically in the coming months.