Indian IT high-profile exits reflect maturing sector, says expert
NOIDA, INDIA — Surabh Srivastava, former Chairman of the National Association of Software and Service Companies (NASSCOM) and Indian Angel Network Co-founder, believes that the departures of several high-profile leaders in India’s information technology (IT) industry signify a maturing sector.
In an interview with Moneycontrol, Srivastava explained that such periods of transition are common in America’s tech landscape, so similar dynamics in India indicate progress and evolution.
India’s IT industry witnessed a spate of high-profile exits last year. Former Infosys President Mohit Joshi joined Tech Mahindra; Ravi Kumar S, also President at Infosys, joined Cognizant as CEO; Wipro’s long-time Chief Financial Officer (CFO), Jatin Dalal, joined Cognizant in the same role following the departure of the firm’s COO Sanjeev Singh and of several senior Vice Presidents.
“When high-profile people quit, they do it because 10 other jobs are waiting for them. If people don’t quit, it’s often because there are no jobs,’’ explained Srivastava.
“So, a CFO, CEO, CXO quitting is a good signal. That means there are other jobs around. It means we have a vibrant ecosystem.”
However, Srivastava cautioned that mass departures from any single player likely signal internal leadership issues warranting review. But overall, he believes the exits reflect widening opportunities.
Meanwhile, Srivastava noted that India’s IT sector outlook will improve in 2025.
“We are cautious about 2024. Hopefully, by 2025, we should start looking up. The geopolitical scenario should resolve itself,” Srivastava stated.
“The second thing on IT services is the entry of AI. Most companies have done the work, they are building that into their offerings, but all customers are not yet ready. There is a lot of talk, a lot of buzz.”
