The terror attacks and the continuous security braches in the country has opened up opportunities for Indian software firms in the defence sector. The software companies are eyeing the various Information and communication technology (ICT) contracts worth $500 million of the defence forces, expected to be dished out within next three years.
The defence forces are looking at setting up of new real time software systems and replacement of legacy communication systems, IT industry officials and analysts told Business Line. IT firms such as IBM, Tata Consultancy Services (TCS), Rolta and others see opportunity as a large chunk of work would come in the areas related to setting up of strategic communication systems, tactical communication systems, battlefield management systems etc. K. K. Singh, Chairman and CEO, Rolta India said, "The communication systems used by our defence forces are about 20-25 years old. The establishment is keen to upgrade tactical equipment systems used by our forces. We see significant opportunities in this space."
Apart from communication systems, firms would also be roped in for development of core applications such as ERP and for inventory management and e-maintenance of defence systems and equipment. In the defence space, however, things have not changed much. "The slowdown has not yet impacted the pace of projects. Having said that, one must look at this market from a five-year horizon," said Puneet Gupta, Vice-President, Public Sector, IBM India/South Asia.
Monday, March 23, 2009
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