SPOTLIGHT ON INDIAN ELECTRONICS Spotlight on Indian Electronics | Page 268

Worldwide IT spending to surpass $ 3.6 trillion in

2016

HIGH PRIORITY MARKET

Key Players in India

Tata Consultancy Services Ltd 9th Floor, Nirmal Building, Nariman Point, Marine Lines, R N Goenka Marg, Nariman Point, Mumbai, Maharastra T: 022 67789579; W: tcs. com E: analyst. relations @ tcs. com,
Wipro Technologies Velocity Building, Ground Floor, Logitech Park, Andheri Kurla Road, Saki Naka, Mumbai-400072, Maharastra T: 022 28577809; M: + 91-8067516450 E: vipin. nair1 @ wipro. com; W: wipro. com Vipin Nair
Infosys Technologies Limited Corporate Headquarters Plot No. 44 & 97A, Electronics City, Hosur Road, Bangalore- 560 100, Karnataka T: + 91 80 2852 0261; F: + 91 80 2852 0362 W: infosys. com
HCL Technologies Corporate Office A-10 / 11, Sector- 3 Noida- 201 301, Uttar Pradesh, India T: + 91-120-253-5071; F: + 91-120-253-0591 W: hcltech. com
Tech Mahindra Mahindra India & World Headquarters Mahindra Towers, G M Bhosale Marg Mumbai- 400018, Maharastra, India T: + 91-1800 425 1624 E: connect @ techmahindra. com W: techmahindra. com
MphasiS Leela Business Park, 2nd Floor, Andheri Kurla Road, Sahar, Andheri( East), Mumbai- 400059, Maharastra, India T: + 91-22-56777777; M: 8033525000 E: sivaram. nair @ mphasis. com W: mphasis. com A. Sivaram Nair( Sr. VP)
Patni Computer Systems 43, Velankani Complex, 2nd Phase Hosur Road Electronic City, Bangalore- 560100. T: 28520335; W: atni. com
Iflex Solutions Ltd 399 A, Subhash Road, Vile Parle East Mumbai- 400057, Maharashtra T: 022 6718500; W: iflex. com
L & T Infotech L & T Technology Center Gate No. 5, Saki Vihar Road, Powai, Mumbai 400072, Maharastra T: + 91 22 6776 6776; F: + 91 22 6776 6004 E: info @ lntinfotech. com; W: lntinfotech. com

It ' s not just about big data; It ' s what you do with it: welcome to the Algorithmic Economy

Worldwide IT spending is forecast to
increase by more than 80 percent by
surpass $ 3.6 trillion in 2016, a 1.5
2020. 125,000 large organizations are
percent increase from 2015. The IT
launching digital business initiatives now.
industry is being driven by digital
Bimodal Business
business, and an environment driven by a
For digital business to succeed,
connected world. Spending on Internet
companies are creating innovation units.
of Things( IoT) hardware will exceed $ 2.5
New digital initiatives are running
million every minute in 2016.
alongside their traditional analog
Interconnections, relationships, and
businesses. The business itself is
algorithms are defining the future of
bimodal. Organizations are creating
business. In five years, 1 million new
separate business units, focusing on
devices will come online every hour.
digital, separate from their traditional
These interconnections are creating
businesses( Mode 1). They are trying new
billions of new relationships. These
ways of reaching the customer, of
relationships are not driven solely by
running operations, of driving diverse
data, but algorithms. Data is inherently
innovation. They are acquiring and
dumb. It doesn’ t actually do anything
investing in digital technology
unless you know how to use it; how to
companies, not waiting on existing
act with it. Algorithms are where the real
suppliers to build capabilities because
value lies. Algorithms define action.
they have to start in a different place.
Dynamic algorithms are the core of new
Traditional organizations move too slowly
customer interactions.
when they build digital on old Mode 1
Amazon’ s recommendation algorithm
platforms. The solution is to create a type
that keeps customers engaged and
of bimodal organization, introducing a
buying; Netflix’ s dynamic algorithm –
new Mode 2 platform, with a different
built through crowd sourcing – keeps
emphasis. The Mode 2 platform uses
people watching; and the Waze
more cloud than in-house infrastructure
algorithm directs thousands of
and applications.
independent cars on the road.
The new platform is less about data
The algorithmic economy will power the
gathering, and more about intelligent
next great leap in machine-to-machine
algorithms to act on the data. Platforms
evolution in the Internet of Things.
matter because business as a whole has
Products and services will be defined by
gone bimodal. You need IT that supports
the sophistication of their algorithms and
a bimodal business. Over a third of CIOs
services. Organizations will be valued,
have gone bimodal just within IT, creating
not just on their big data, but the
innovation units, running at Mode 2 to
algorithms that turn that data into
break out of the traditional, slow, but
actions, and ultimately impact
stable approach, which is Mode 1.
customers.
Security and Risk
Digital Business
Today, the Risk and Security officer is
Digital business is when new businesses
mostly concerned with old technology
designed with both the physical and
risks. They’ ve become obsessed with
digital world are brought together. As
external hacks, chasing the impossible
analog revenue flatten, and decline for
goal of perfect protection. However, 65
many industries, businesses are shifting
percent of CEOs say their risk
to digital revenue from digital business.
management approach is falling behind.
Global digital commerce is now over $ 1
Organizations know this, and they’ ve
trillion, annually. Leading CEOs have told
slowly devoted more resources to
Gartner that their digital revenue will
security, as safety and quality issues
Spotlight on Indian Electronics 2016 | 268