Indian IT Shake-out

2008 has been a historic year for a host of events including some of the more unfortunate ones. The biggest ones that impact the Indian IT industry have been the Economic Crisis and to an extent the recent 'Satyam' fiasco.
My bet is that 2009 will be the year of shake-out and alignment for the Indian IT industry as it is forced to adopt creatively to the global economic conditions and the closer governance scrutiny that will be the fall-out of Satyam.
By the end of the year we will see a lot of companies closing down or being merged to form a more viable entity. It is likely that we see a new entrant in the top 7 IT firms. I will try publishing a entry list of companies as of the beginning of the year so that we can compare with what is left at the end of the year.

The present list and predictions to follow. Stay tuned

Satyam - Hey Ram !

Over 2 weeks have passed since i vowed to myself about blogging regularly. It takes a while to fall back into the habit I guess. But then at least I was more "Satyam" than the Satyam which has kept Indian and international investors entertained by its less than Satyam act.
But it is not a unique case of corporate fraud, the examples of which are littered through Corporate history. Nor is it unique to India or IT industry.
Having said that I dont think it can be generalized to apply to all IT companies in India. However, it does invite closer scrutiny of other IT companies. Especially in focus would be family managed firms that went public and essentially forayed into this field at a time when Indian Stock Market made IPOs go over-subscribed just for the mention of word tech in the company. That was also a time many non-IT companies also kept their names as 'Tech' or 'Sys' to take benefit of the market frenzy.