The top-10 Indian IT service companies have grown at almost three times the pace of their global counterparts in calendar 2010, according to a report from research firm Gartner.

While the top-10 Indian providers grew by 19.9 per cent compared to 2009, the IT service revenues of the top-10 global technology firms grew by 5.8 per cent.

According to Mr Arup Roy, principal research analyst at Gartner, there are two factors responsible for this trend.

“Global IT service companies have a larger base and hence it is irrational to expect their growth rates to be similar to those reported by Indian IT service firms which are comparatively smaller in size. Moreover, Indian players have a great deal of mindshare among global clients who are looking at offshoring in a big way,” Mr Roy told Business Line .

As home bred companies gain in size, they will find it difficult to sustain growth rates of more than 25 per cent as they did a few years back, Mr Roy added.

Among the top five India-based providers, TCS gained three ranks to move up to 21st position in the global IT services ranking of service providers (see Table 1).

The 40 per cent dollar growth reported by Cognizant was the highest among the top rung Indian service firms.

“Recognising the importance of diversification, Indian providers are expanding their geographic reach, as well as expanding their service line mix, while maintaining a focus on sustaining operating margins,” said Mr Roy.

Mahindra Satyam was the only top-10 home bred IT services company to have reported a decline (10.2 per cent) in revenues for the fiscal.

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