HCLTech Bets Big on India’s AI Mission and Sovereign Systems
HCLTech, one of India’s top IT services companies, is intensifying its focus on the Indian market. Driven by the government’s artificial intelligence (AI) mission and the push for sovereign systems, the software giant is targeting new contracts across sectors. The initiative aims to capitalize on emerging opportunities in industry-specific cloud environments and other key projects.
At a time when competitors like Tata Consultancy Services (TCS) and Infosys are strengthening their foothold in India and other emerging markets, HCLTech is determined to increase its relatively modest revenue share from the region. Currently, India contributes only 2-3% of HCLTech’s revenue compared to TCS (up to 10%) and Infosys (5-6%), according to Gaurav Vasu, CEO of market intelligence firm UnearthInsight.
A Renewed Focus on the Indian Market
To drive this shift, HCLSoftware, the software division of HCLTech, has appointed Vikrant Chowdhary as the country head and senior vice president. Chowdhary will oversee the company’s operations in critical sectors such as enterprise, banking, financial services, insurance (BFSI), and government projects. His mandate includes leading HCLSoftware’s commitment to Make-in-India and establishing the company as a premier global enterprise software product provider rooted in India.
Rajiv Shesh, Chief Revenue Officer (CRO) of HCLSoftware, emphasized the potential of AI to revolutionize the IT sector. “AI is changing the way the IT sector works. This is a major opportunity for firms with roots in India. With massive investments pouring in through the AI mission, sovereign systems, industry-specific cloud environments, and digital public infrastructure, the future looks promising,” he said.
HCLSoftware is also leveraging India as a key part of its Asia-Pacific strategy, not just for software production but also for creating globally replicable use cases.
Building ONDC’s SaaS Platform
As part of its focus on government contracts, HCLSoftware is developing a Software-as-a-Service (SaaS) transaction platform for the Open Network for Digital Commerce (ONDC). This platform aims to support sectors such as manufacturing, automotive, and heavy industries while boosting e-commerce transactions.
ONDC, a government-backed initiative, seeks to disrupt the dominance of e-commerce giants like Amazon and Walmart by promoting an open and interoperable digital commerce ecosystem. It is built on the Beckn Foundation’s software, spearheaded by Infosys co-founder Nandan Nilekani, and aims to replicate the success of the Unified Payments Interface (UPI) in digital payments.
HCLSoftware’s platform will integrate with ONDC’s infrastructure, enabling seamless buyer-seller transactions. This initiative promises scalability, cost-effectiveness, and ease of use for businesses entering the ONDC network. The platform is being designed to meet the specific needs of businesses through HCLTech’s subsidiary, Quest Informatics.
Strategic Pricing for Long-term Growth
While the platform is still in development, it is expected to go live in the coming quarters. Rajiv Shesh stated that pricing will be tailored to India’s unique market dynamics, focusing on long-term value rather than per-transaction margins. HCLTech aims to deliver scalable solutions at affordable prices to ensure broader adoption of the ONDC network.
“The opportunity in India is immense. It’s not about margins on individual transactions but about enabling businesses to grow and scale efficiently within this ecosystem,” Shesh concluded.
