Satyam Computer Services Ltd, the country's fourth largest software services exporter, is reportedly being courted by IT giant IBM. Speculation is rife about an IBM takeover of Satyam and reports of such a possibility have been surfacing in the media from time to time.
IBM said it does not comment on speculation and rumours while the Hyderabad-based Satyam Computers said there was no truth in the reports.
IBM has a significant presence in India and is looking to expand in the country. In 2004, it acquired a call centre unit in Delhi, Daksh e-services, for $160 million. Satyam Computers, among the top Indian global consulting and information technology services company, recently announced plans to establish a 2,000-seat global delivery campus (GDC) in Cyberjaya, Malaysia. Satyam's largest and first GDC outside India, it will serve as a major technological development and software support facility for the software company's ASEAN, US and Middle Eastern customers.
IBM is on a high growth path and has outperformed storage software vendors EMC and Symantec in the third quarter of 2006. According to new market share data released by IDC, IBM's storage software revenue grew 39 per cent and was the only vendor among the top three to increase its revenue share, resulting in a year-over-year rise in market share of two and a half points, as reported by IDC.
IBM's storage software revenue growth was more than three times greater than the overall storage software marketplace, which was measured at 11 per cent year-over-year growth. IBM is outpacing the market and outperforming EMC and Symantec for the seventh consecutive quarter, the IDC report said.