Source: Times of India

GlobalLogic, an outsourcing product development firm providing product development services, including product conceptualisation, product realisation, product testing and maintenance to companies across verticals like telecom, finance, hi-tech and enterprise, is on the prowl looking to acquire Indian or Chinese firms dealing in embedded software. As well, discussions are also on for the taking over of a number of floundering captive software development centres, unable to make first cut in India.

“We are looking at acquisitions in the embedded software space to grow our presence in the vertical. China has strong embedded software expertise and we want to foray in that market this year with an acquisition,” affirms Rahul Garg, Vice President - GlobalLogic Corporate Development.

While, looking for firms in China falling in the $5-10 million revenue range, as for India, GlobalLogic is busy scouting firms based in Bangalore, Hyderabad and Chennai. Garg, highly chipper and optimistic about GlobalLogic’s acquisition plans, says: “We see great potential in the embedded software space with more and more chips being used in products to make them more ‘intelligent’, whether it is cars or home appliances.”

And, it is not just embedded software firms, but also captive software development units belonging to MNCs that are on GlobalLogic’s radar screen. Already, it is in an advanced stage of negotiations with 4-5 companies in India, with a view to taking over their operations. Even as, earlier this year, GlobalLogic was successful in acquiring supply chain software and services firm, Kewill’s Indian R&D operations, while it acquired software company Mantas’ Indian operations, last year.

Further, GlobalLogic has major plans for expanding to new geographies this year. “We plan to open delivery centres in China and Latin American countries like Mexico, Argentina and Brazil for their near shore advantage. We’ll expand our sales presence in the UK where we recently opened an office and grow our presence in Japan and western Europe, especially in Germany and France,” confirms Garg.

Receiving $12.5-million worth of funding last year, GlobalLogic has the backing of venture capital firms Sequoia, NEA and DFJ, and plans to become a 3,000-people strong firm by adding over 1,000 employees this fiscal year.

Source: www.business-standard.com

As demand for aerospace, railway signalling and space-related software engineering is on the rise, worldwide, Silver Software, a British firm specialising in all three domains, has chalked out an expansion plan that includes increasing its global headcount.

A privately held firm, Silver Software has development centres in India, UK and Spain, employing 350-people, of which 235 are based in Bangalore. Identified as one of Britain’s fastest growing technology firms by Sunday Times Tech Track 100 in 2002, 03 and 04 and 05, it has developed software products for Airbus and Boeing, Alstom and General Electric. For instance, it was Silver Software that that was responsible for developing landing gear software for Airbus A380.

In total agreement, Senthil Kumaran, Managing Director for Silver Software confirms India has great potential and confirms his firm’s expansion plans, saying: “We foresee a lot of opportunity with the economy growing in developing countries like India and China. The Indian aviation sector is witnessing a boom. Similarly, China is modernising its railway signalling in a big way. We see a greater role for us in developing software products for the aviation and railway signalling segments.”

So much so, by the end of the current fiscal, Silver Software’s worldwide headcount is slated to cross 400, while over the next three years, there are company expectations that its headcount will be in the region of 650-800. “A majority of them will be deployed in India. We are also exploring the options of moving into Tier-2 cities within India, like Mysore, Hosur and Chennai,” Kumaran points out.

Simultaneously, Silver Software proposes to open development centres in locations like Hungary, China and Poland. “We have not finalised the location as of now. By moving into these countries, we can extend the cost-benefit to our clients,” he adds.

Recently, the company has also entered the telecommunications space, undertaking software testing and verification, safety engineering and consulting in the communication sector.

Recording a turnover of $25-million, as well, it plans to expand its technology partnership network. At present, with two technology partners in Germany and the US, respectively, Silver Software is scouting for partners with experience in aerospace and railway signalling domains. And, if no suitable partners are to be found, Kumaran confirms his firm may go the acquisition route.