Incredulity – How did Infosys and Others Get Here?

This post would resonate with every single engineering college batch or group of students that every sat for campus placements – whether it’s mechanical, ECE, civil, any of them. I dedicate this post to the brave students – many of whom are my friends – who have suffered hardships whether they are acknowledged or not.

If you currently or previously worked at Infosys, Cognizant, TCS or any of the other companies referred to my post and you find something here that’s not accurate or does not match your experience, comment below.

The Birth of India’s Tech Ecosystem

The story of India’s Information Technology (IT) industry is supposed to be a remarkable narrative of transformation, ambition, and unintended consequences. Emerging from the shadows of a predominantly agrarian economy in the late 1960s and early 1970s, India’s IT sector began as a modest endeavor with limited global recognition.

The journey began in 1967 when the Tata Group established the first computer software company in India. However, the real momentum came in the 1980s, driven by visionary entrepreneurs who saw the potential of software as a global service. Companies like Infosys, Wipro, and TCS were founded during this pivotal decade, laying the groundwork for what would become a global technological powerhouse.

Key Milestones in India’s IT History:

• 1967: Tata Consultancy Services (TCS) founded
• 1981: Infosys established
• 1991: Economic liberalization opens new opportunities
• 1999: IT industry crosses $1 billion in exports
• 2000s: Rise of global delivery model
• 2010s: Digital transformation and cloud computing era
• 2020s: AI and stuff

The 1990s marked a turning point with economic liberalization. Suddenly, Indian IT companies could compete on a global stage. I’d also argue that the Y2K challenge (your year of birth would have to begin with “1” if you remember Y2K) became a blessing in disguise, showcasing India’s technical expertise to the world. Multinational companies realized they could leverage India’s large, educated, and cost-effective workforce for their technological needs.

By the early 2000s, India had become the world’s back-office, with the IT industry growing from $1 billion in exports to over $150 billion by 2020.

What began as a small sector transformed into a critical component of India’s economic framework, creating millions of jobs and positioning the country as a global IT hub.

In the glittering landscape of this technological success story, a stark reality lurks beneath the surface of corporate achievements. What began as visionary dreams of transforming India’s technological capabilities has morphed into a corporate machinery that prioritizes profits over people, creating a systemic challenge for young professionals across the nation.

India’s Tech Dream: A Broken Promise?

This deep dive explores the journey of Infosys and similar tech giants – from their inspirational beginnings to their current state of corporate complexity. We’ll unravel how these once-promising companies have deviated from their original missions, creating a challenging ecosystem for India’s brightest young minds.

The problems are multifaceted: exploitative working conditions, unrealistic expectations, stagnant salaries, and a hiring-firing culture that treats fresh graduates as disposable resources rather than potential innovators. Our exploration will shed light on the critical issues plaguing India’s IT industry and prompt a much-needed conversation about sustainable corporate practices.

The Genesis: Infosys and the Dream of Transformation

Infosys was founded in 1981 by seven visionary entrepreneurs, with N.R. Narayana Murthy (yes, the 70-hours-a-week-meme guy) at the helm. Their initial dream was revolutionary: to create a world-class software company that would put India on the global technological map. Starting with a modest capital of ₹10,000, the company embodied the spirit of entrepreneurial India.

Key Milestones:

• 1981: Founded with an initial investment of ₹10,000
• 1993: First international client acquisition
• 1999: Initial Public Offering (IPO) Infosys shares are still coveted among investors and traders
• 2014: N.R. Narayana Murthy returns as Executive Chairman
• 2023: Revenue of approximately $16.28 billion

The company’s growth trajectory was nothing short of spectacular. From a small startup to a global IT services giant, Infosys became a symbol of India’s technological prowess. However, this growth came with significant transformations that deviated from its original inclusive and employee-centric vision.

The Dark Side: Recent Controversies and Challenges

I want to reiterate – if you have worked at Infosys and what I state here (based on recent news and publicly available information) is not reflective of the company, please feel free to challenge me by commenting below or reaching out to me on any of my socials.

Hiring and Firing: A Troubling Trend

Recent incidents have exposed the problematic culture within Infosys and similar tech companies:

Key controversies include:

• Mass layoffs of freshers after hiring them during campus placements
• Comments by co-founders suggesting 70-hour work weeks are acceptable (but good meme material)
• Stagnant salaries that fail to keep pace with inflation
• Declining focus on employee skill development and personal growth

Campus Placements: The Illusion of Opportunity

Statistics reveal a concerning trend in campus placements:

• Approximately 60% of engineering graduates in India are hired by top IT companies like Infosys, TCS, and Cognizant
• Only 20% of these graduates feel they are doing work aligned with their engineering skills
• Over 40% consider changing jobs within the first two years of employment

The Psychological Impact

Young professionals find themselves trapped in a cycle of:

• Quitting: Leaving after realizing the mismatch between expectations and reality
• Accepting: Compromising personal growth and altering hair / waste line for job security, and at some level bragging rights for parents who love to tell relatives “my son working hard in Infosys / TCS / Cognizant / HCL / etc.” which also increases ‘marriageable value’.

Also did you know that Narayana Murthy is Rishi Sunak’s father in law? Doesn’t matter.

Recommendations and Way Forward

For the Government:

1. Implement stricter regulations on hiring and firing practices
2. Mandate minimum salary standards for fresh graduates
3. Create skill development programs in collaboration with industry
4. Name and shame companies who deny employees their rights.

For Young Engineers:

1. Focus on continuous learning and skill upgradation
2. Consider diverse career paths beyond traditional IT services
3. Negotiate work-life balance during job interviews
4. Explore startups and product-based companies
5. Invest in specialized skills that add unique value.

For parents: Lose the bragging rights. “My son/daughter working in Infosys” does not increase his standing in the marriage market anymore. And according to a leaked US recruiter’s memo, it actually blacklists him/her from several US companies.

Conclusion: Reclaiming the Original Vision

The story of Infosys and similar tech giants is not just about corporate growth, but about the evolving relationship between ambition, innovation, and human potential. As we move forward, the tech industry must reconnect with its original mission of empowering people, not just generating profits.

The future of India’s tech ecosystem (what I call Tech India) in large part depends on our collective ability to challenge the status quo and reimagine corporate success through a lens of human-centric development rather than shareholder value.

And maybe don’t consider “works at Infosys / TCS / Cognizant” as a factor for judging a marriage prospect.

Share this post with someone who did Engineering or married an Engineer. I love you guys. 🫶🏼