Tech Mahindra spots opportunity as 5G networks take off globally
IT services major Tech Mahindra is seeing the forthcoming rollout of 5G networks around the world as a big opportunity.
Tech Mahindra chief executive and managing director CP Gurnani told news agency Press Trust of India that the company’s strength was offering virtualisation and that it would be bidding for upcoming contracts for the fifth generation of cellular mobile communications.
Virtualisation refers to the creation of a virtual version of a cellular network, helping reduce complexities and boost reliability.
As part of the company's ‘TechMNxt charter’, Tech Mahindra focusses on 5G technology and is currently working with multiple service providers globally on their network transformation journey.
Many countries have allocated 5G spectrum to telecom companies but the technology is yet to take off in India.
Gurnani further said that Tech Mahindra’s communications vertical was on the right trajectory to achieve gradual growth.
Tech Mahindra, which was founded in 1986 with British Telecom as its technology outsourcing partner, has been traditionally strong in telecommunications. The vertical contributed around 42% of the company’s revenue in the most recent quarter.
Gurnani said that the communications industry has been struggling world over and that maintaining high growth rates would be difficult.
Tech Mahindra, which employs over 114,000 people across the world, had earlier announced plans to set up a 5G centre of excellence (CoE) in partnership with tech giant Intel in Bengaluru and Redmond, US.
The CoE is targeted at helping communication service providers (CoSPs) to optimise their capital expenditure on 5G migrations and rollout and accelerate new revenue-generating services.
The collaboration will look to leverage Tech Mahindra’s capabilities in the 5G domain like mobile networks, IT, cloud and enterprise applications.