HCL Technologies and HCL Infosystems have started working more closely to increase their sales in the Middle east and Asian Countries. There are talks about the HCL Infosystems, Merging its system integration and service business with the HCL Technologies. However HCL Technologies have completely denied any auch merger by calling it a mere "rumour"
HCL Technologies primarily focuses on the US, Europe and Asia-Pacific markets, whereas HCL Infosystem focuses on Indian and Middle East markets. While the bulk of HCL Technologies' revenues come from the market sales, HCL Infosystem gets their revenues mainly by selling computing hardware to government, and by being the national distributor to mobile phones, computers, laptops and printers.
HCL Infosystem which dealt with both hardware sales and service provider, have earlier this year, separated its hardware sales, pure services and hardware distribution to a different segment. They are however, also the service provider for Aadhar, providing services to banks and hospitals.
The question now is, how will this merger affect HCL Infosystem? Will there be changes in the industry domain and geographical presence? Or will it just be as common an industry practice as a collaboration between IT services company?