While the North India is currently sizzling with heat, the T&M industry is wanting to have some major clues for growth in the Enterprise segment and more clearly for test automation related opportunities for big Deals.We covered the environment and where to look for specific opportunities in Deployment, Defense projects etc in earlier blocks.The challenges are very many right now and we need to wait for clarity there.These things in Govt Procurement can always take time and need focussed effort there.Likewise the big PSU manufacturers in Defense and Telecom are also driven by the Capex releases from the concerned ministries.
One very good perspective from Global Telecom and consumer Electronic Manufacturers come when we study their current "Cash Pile" on their balance sheets. Just scan the East Asia in particular,like Taiwan and Korea and chaotic place like China. See how much cash is piling up.Hon Hai Electronics, Samsung Electronics and host of smaller manufacturers have 40 B$ and approx 20B $ cash/equivalent on the balance sheets! Normally these mega manufacturers will either do buyback of their shares,acquire new companies, or announce big offshore plans or simply shift to a better tax efficient location.Very clearly Sriperembdur, Noida and some other locations in the West India need to be our hunting ground to help them spend on capex and T&M systems.
Some of these accounts are captive for large Global players.But many of the manufacturers are vendors to Apple,Samsung and Hyundai Electronics.And these vendors will like to move to India for getting closer to the manufacturing system.How much they will be able to release in FY 14 is ultimately the effort of T&M vendors calling on them and selling their respective value proposition.Asia ,Manufacturing, Multi Country offshore plant locations and CASH PILE are the words having the right nexus here.
One very good perspective from Global Telecom and consumer Electronic Manufacturers come when we study their current "Cash Pile" on their balance sheets. Just scan the East Asia in particular,like Taiwan and Korea and chaotic place like China. See how much cash is piling up.Hon Hai Electronics, Samsung Electronics and host of smaller manufacturers have 40 B$ and approx 20B $ cash/equivalent on the balance sheets! Normally these mega manufacturers will either do buyback of their shares,acquire new companies, or announce big offshore plans or simply shift to a better tax efficient location.Very clearly Sriperembdur, Noida and some other locations in the West India need to be our hunting ground to help them spend on capex and T&M systems.
Some of these accounts are captive for large Global players.But many of the manufacturers are vendors to Apple,Samsung and Hyundai Electronics.And these vendors will like to move to India for getting closer to the manufacturing system.How much they will be able to release in FY 14 is ultimately the effort of T&M vendors calling on them and selling their respective value proposition.Asia ,Manufacturing, Multi Country offshore plant locations and CASH PILE are the words having the right nexus here.
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