Infosys
Infosys Limited is an Indian multinational technology company that offers information technology, business consulting, and outsourcing services. Founded in 1981 by seven engineers, the company is headquartered in Bengaluru and considered one of the Big Six Indian IT companies.
Infosys has also attracted controversies due to allegations of visa and tax fraud in the United States and for creating malfunctioning government websites.
History
Infosys was founded by N. R. Narayana Murthy, Nandan Nilekani, Kris Gopalakrishnan, S. D. Shibulal, K. Dinesh, N. S. Raghavan, and Ashok Arora, with an initial capital of $250. It was incorporated as Infosys Consultants Private Limited in Pune on 2 July 1981, before relocating to Bangalore in 1983. Arora left the company in 1989 and sold his shares to the other co-founders.In the 1980s, Infosys briefly made hardware products like electronic telex machines and keyboard concentrators. Its core business of offshore custom software development witnessed growth after the 1991 economic liberalisation of India.
In February 1993, Infosys launched its initial public offering with an offer price of 95 per share. The IPO was initially undersubscribed but was "bailed out" by US investment bank Morgan Stanley, which acquired a 13% equity stake at the offer price. When trading began in June 1993, the share price opened at 145 per share.
Infosys released its banking automation software package Bancs2000 in 1994, middleware architecture product Entark in 1995, and Y2K problem toolset "In2000" a year later. In the mid to late 1990s, Infosys also incubated software product subsidiaries like e-fulfillment and WMS software provider Yantra, and mobile VAS developer OnMobile, which were subsequently spun off and divested.
Infosys listed its American depositary receipts on Nasdaq in March 1999, making it the first Indian company to be listed on Nasdaq. Infosys was then among the top 20 companies by market capitalization on the Nasdaq. The ADR listing was later transferred to NYSE Euronext to provide European investors with better access to the company's shares.
In 1999, Infosys rolled out Finacle, a core banking software suite developed as the successor to Bancs2000. The same year, Infosys started its research and innovation arm called SETLabs. In 2004, SETLabs formed an intellectual property cell; Infosys was reported to be earning about 10% of its total revenue from patent pending IP assets in 2006.
In 2002, Infosys created a business process management division called Progeon, with Citigroup taking a minority stake in the venture for $20 million. In 2004, Infosys established a wholly owned consulting subsidiary called Infosys Consulting, based in Fremont, California. In 2006, Infosys bought out Citigroup's entire 23% stake in Progeon for $115 million.
In 2009, Infosys set up a subsidiary, Infosys Public Services, based in Rockville, Maryland, with a focus on federal and state government projects in the US, Canada, and the UK. In 2012, Infosys opened its 18th US office, in Milwaukee, primarily to serve Harley-Davidson; the company also announced having hired over 1,200 employees in the US in 2011 and an additional 2,000 employees in 2012.
In July 2014, Infosys established an enterprise software products subsidiary named EdgeVerve Systems, with products in business operations, customer service, procurement, and commerce network domains. In August 2015, Infosys transferred assets of Finacle to EdgeVerve Systems.
In 2015, Infosys launched the $500 million Infosys Innovation Fund to invest in early-stage startups focused on emerging and deep tech, including a $250 million allocation for Indian startups.
In 2018, Infosys formed a Singapore-based 60:40 joint venture with Temasek Holdings known as Infosys Compaz, serving clients in the Southeast Asian markets.
On 24 August 2021, Infosys became the fourth Indian company to achieve a market capitalization of billion.
Services and products
Infosys offers software development, maintenance, and independent validation services across industries such as finance, insurance, manufacturing, among others. Through its subsidiary Infosys Consulting, it provides consulting services in digital experience, cloud, data analytics, artificial intelligence, engineering, and sustainability. Its subsidiary Infosys BPM provides outsourcing services for business processes such as finance, procurement, customer service, and HR.Infosys offers digital products and platforms for digital transformation, including digital banking software Finacle, application delivery platform Panaya, digital commerce platform Infosys Equinox, workplace platform Infosys Meridian, and customer engagement platform Infosys Cortex. It also provides sets of services and platforms in domains such as cloud with Cobalt, generative AI with Topaz, and AI marketing with Aster.
Acquisitions
| Name | Based in | Acquisition cost | Acquisition date | Business |
| Expert Information Services | Australia | $23 million | Dec 2003 | IT services |
| Gen-i Software | New Zealand | Undisclosed | Jun 2011 | Software consulting |
| Lodestone Holding | Switzerland | $345 million | Sep 2012 | Management consultancy |
| Panaya | Israel | $200 million | Mar 2015 | Automation technology |
| Skava | United States | $120 million | Apr 2015 | Digital experience solutions |
| Noah Consulting | United States | $70 million | Nov 2015 | Information management consulting services |
| Skytree | United States | Undisclosed | Apr 2017 | Machine learning |
| Brilliant Basics | United Kingdom | £7.5 million | Aug 2017 | Product design and customer experience |
| Fluido Oy | Finland | €65 million | Oct 2018 | Salesforce advisor and consulting partner |
| WongDoody | United States | $75 million | Jan 2019 | Advertising and creative strategy services |
| Stater N.V. | Netherlands | €127.5 million | Apr 2019 | Mortgage services |
| Simplus | United States | $250 million | Feb 2020 | Salesforce consulting |
| Kaleidoscope | United States | $42 million | Sep 2020 | Product design and development |
| GuideVision | Czech Republic | €30 million | Sep 2020 | ServiceNow partner |
| Blue Acorn iCi | United States | $125 million | Oct 2020 | Digital transformation |
| Carter Digital | Australia | Undisclosed | Jan 2021 | Design agency |
| Oddity | Germany | €50 million | Mar 2022 | Digital marketing |
| BASE life science | Denmark | €110 million | Jul 2022 | Life science consulting and technology |
| InSemi | India | 280 crore | Jan 2024 | Semiconductor design services |
| in-tech | Germany | €450 million | Apr 2024 | Engineering R&D services |
| MRE Consulting | United States | $36 million | Apr 2025 | Consulting |
| The Missing Link | Australia | A$98 million | Apr 2025 | Cybersecurity and cloud services |
Listing and shareholding pattern
In India, Infosys shares are listed on the BSE, where it is a part of the BSE SENSEX, and on the NSE, where it is included in the NIFTY 50 index. Infosys also trades its shares through American depositary receipts on the New York Stock Exchange.Over the years, the shareholding of Infosys's promoters has steadily decreased. This trend began in June 1993, when Infosys first listed its shares on the BSE. The promoter shareholding further declined when Infosys instated employee stock option scheme in 1993 and listed ADRs on Nasdaq on 11 March 1999. The Life Insurance Corporation of India is the biggest shareholder in Infosys.
| Shareholders | Shareholding |
| Promoters group | 14.61% |
| Foreign institutional investors | 32.74% |
| Domestic institutional investors | 37.59% |
| Public | 14.81% |
| Others | 0.25% |
| Total | 100.00% |
Operations
Geographical presence
As of 31 March 2024, Infosys operates 94 sales and marketing offices and 139 development centers globally. The company's operations are spread across key regions, including India, the United States, Canada, China, Australia, Japan, the Middle East, and Europe.In the fiscal year 2023-24, Infosys generated approximately 61% of its revenue from North America, 25% from Europe, 3% from India, and 11% from other regions, including the Middle East, Australia, and Japan.
Infosys faced scrutiny over its continued operations in Moscow following Russia's invasion of Ukraine in February 2022. The company clarified that it had no active business with Russian firms. By November 2022, only administrative staff remained, handling the transfer of contracts to other contractors.
Training centre in Mysore
As the world's largest corporate university, the Infosys Global Education Centre, located on a 337-acre campus in Mysore, features 400 instructors and over 200 classrooms. Established in 2002, it had trained approximately 125,000 engineering graduates by June 2015. The centre can accommodate and train up to 14,000 employees at any given time across various technologies.The Infosys Leadership Institute, located in Mysore, trains approximately 4,000 trainees annually. Its primary objective is to cultivate and develop senior leaders within Infosys, preparing them for both current and future executive roles.