Capgemini India will continue to grow at a higher rate than the global inc, with technology adoption accelerating across sectors in the region, said Ananth Chandramouli, MD, India Business Unit, Capgemini.
Chandramouli told businessline, “The Asia-Pacific region, inclusive of India, is one of the fastest-growing markets. India is punching above its weight in terms of growth and it has been relatively higher than the overall global average for the last three years and will continue to do so. The Indian market technology adoption story is going to be fabulous in the coming decade.”
The company sees a huge runway in the transportation, manufacturing, telecom, consumer products, and retail sectors in the country. Chandramouli said, the automotive and railroad subsectors are boosting the demand from the transportation sector, the PLI schemes, and the China-plus-one strategy is generating demand from the manufacturing sector, and the introduction of 5G is inducing demand in the telecom sector.
Global Capability Centres(GCC) are also a high-potential market segment for the company. Chandramouli said that as global MNCs are looking to achieve more with less in the current macro environment, GCCs will turn to large players like Capgemini, making it a fairly large market segment.
The company has a significant presence in India with over 1,85,000 out of its 3,60,000 employees working in India. According to Chandramouli, the digital solutions and experiences created, developed and innovated by Capgemini India are being implemented in other emerging markets such as Australia and Japan as well.
Capgemini in its recent quarterly earnings result had provided modest guidance, given the current macroeconomic conditions. “While we are entering the year with tremendous amount of traction, we are also seeing cautious client behavior globally due to the macro-economic and geopolitical situation of the world. Additionally, due to high growth in the last two years, there is also a high base effect, hence the guidance was seemingly muted,” Chandramouli said.
With the clients becoming cautious due to the macro-environment, the focus is shifting to cost optimisation deals where quick ROI can be obtained, according to Chandramouli. However, he says this change is only a small detour before the situation gets back to normal.
On AI and ChatGPT
Speaking about the potential of new technologies like ChatGPT, Chandramouli said, the AI chatbot has definitely garnered the interest of clients and there have been talks about enterprise-wide ChatGPT. He added that there may not be an immediate revenue opportunity but various proof-of-concept can be developed.