Mid-tier IT firm Birlasoft, in a bid to achieve $1 billion revenue aspiration, plans to increase revenue contribution from non-US markets. The company will also be looking out for inorganic opportunities in the long term to build capabilities, said Angan Guha, MD and CEO, of Birlasoft.
The company will be hiring senior leadership by next year, for the non-US markets and devise a go-to-market strategy. Initially, it plans to focus on selective countries in multiple regions including Continental Europe, Asia Pacific, and the Middle East to drive growth.
“In the next three to five years, the current revenue mix will definitely change. As we drive towards billion-dollar ambition, a lot more revenue will come in from the rest of the world markets,” Guha told busineslline. Currently, America’s geography contributes 85 per cent of revenue, and Europe and the Rest of the World contribute 9 and 6 per cent respectively.
In terms of service lines, the company is seeing opportunities in the banking, financial services and insurance (BFSI), and Energy and Utilities (E&U) verticals, as Guha sees the spending in the sectors to be growing.
Long term vision
Birlasoft is also betting big on artificial intelligence (AI). It recently established a generative AI centre of excellence, in collaboration with Microsoft, aimed at accelerating value creation and fostering innovation in the adoption of generative AI. “AI will be a huge technology that will drive a lot of disruption and if we can be early adopters with the clients in some of these newer technologies like data, and AI, we can make a huge dent there,” said Guha.
The company is committed to achieving $1 billion in revenue. Guha noted, “Although the market is too volatile to give an exact time frame, as a company, we are fiercely committed to not only reach a billion dollar, but will go well beyond that because we are building a business for the long term.”
Birlasoft also plans to explore inorganic opportunities in the long term, after it delivers stable performance for the next three to five quarters and has its senior leadership teams in place. With acquisitions, it will look at adding either horizontal or vertical capabilities or entering into a new market.
“We would consider acquisitions in the areas of generative AI and data practice, as they are big opportunities. I’m also a strong proponent of making an inorganic move to build up the BFSI and life sciences capability,” Guha said.
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Published on October 1, 2023
