We aim for 20% revenue growth in FY25, will heavily invest in GenAI: Piyush Jha, GlobalLogic

Digital product engineering firm GlobalLogic has been expanding its offerings by acquiring leading firms like Sidero in Ireland, Katzion in Australia and more.  Following its acquisition by Hitachi in 2021, GlobalLogic is focusing on digital transformation solutions for its clients. In a recent interview with TechCircle, Piyush Jha, Managing Director and Head – India & APAC at GlobalLogic, said that the company plans to ramp up investments in technologies such as generative AI, quantum computing, and metaverse, in the coming years. Jha further mentioned that GlobalLogic aims for over 20% growth in revenue in FY2025, with a significant increase in investments in the generative AI space.  

Edited excerpts. 

How would you describe the current business scenario for your company, GlobalLogic? And what are your company's strategies to navigate it?   

The current business scenario has been quite healthy and steadily growing for us since this financial year. Things were looking slightly better for the entire industry as we navigated through the year, and they started to become even better, gradually warming up. As we approach the halfway point of the year, we are witnessing the pipeline heating up significantly, with many deals converting. Numerous companies are aiming to enhance their efficiency, and driving efficiency is one of the key levers through which we operate. This includes leveraging new technologies like generative AI, in which we excel. As we plan to step into the next year, it seems like the next year should be, again, moderately high working for us.  

Can you elaborate more on your primary offerings and your current focus on how to contribute to the company's growth objectives?   

We operate in key verticals such as consumer commerce, media, healthcare, life sciences, BFSI, industrial, and auto, alongside high-tech companies like Google and Apple. Our focus on the automotive sector has intensified, and we're investing heavily in technologies enhancing healthcare and fostering industry connectivity, bolstered by recent acquisitions of Katzion and Mobiveil.   

We've invested significantly in generative AI, and are developing innovative products in this field. Security is also a major focus due to advancements in BFSI, auto, and embedded technologies. Amidst efficiency initiatives, we're witnessing a surge in digital transformation projects, an area where we excel and are experiencing substantial growth.  

How is your company staying competitive by using current technologies like Gen AI and adapting to emerging trends in the market?   

We've identified 8 to 10 key applications worth exploring. Over the past two and a half years, we've been working on generative AI technology stack. Our first open AI release hit production in September 2021. Generative AI offers efficiency boosts across various domains. From enhancing developer productivity with tools like Copilot to improving internal systems' responsiveness, we're actively involved in these efforts. Automation is revolutionizing sectors like call centers and knowledge management. 

In generative AI, we focus on three to four key areas, emphasizing an integrated platform approach. By building comprehensive solutions with built-in components, we streamline processes for customers, saving costs and time. Teaming up with Hitachi, we're crafting an integrated generative AI platform set to launch in six to eight months. Initial features will lay the groundwork, reducing development time for core functionalities over time. 

Are there particular industries GlobalLogic is focusing on for expansion, and what factors will guide these decisions?  

The verticals stay the same, we are almost doubling down on auto because in the car, around the car are things that will be a lot of use to people. We believe in investing in technologies that make life simpler and save lives. So, we will invest heavily in auto and auto-related technologies. We are also investing heavily in healthcare and life sciences, which is another area that will save a lot of lives. The consumer and commerce stack along with video equities is another thing that is heating up and has become the news. So, these are cool cheap domains in which we are doubling down.    

The expansion plan we have for GlobalLogic APAC is based on a) doubling down on these endeavors, and b) exploring opportunities with like-minded companies in the same space that we can acquire to bolster our presence. Similar to our successful acquisitions of Mobiveil and Katizon, we are actively seeking companies in the data and auto space that we can acquire. This approach will enhance our capabilities in these areas and also allow us to enter markets where we are currently less involved, such as Japan, Australia, or Saudi Arabia. These emerging markets offer significant headroom and legroom for growth, making them key focus areas for our expansion.   

Given the growing significance of digital transformation for businesses, how is GlobalLogic positioning itself to meet evolving client needs and leverage technological advancements?  

GlobalLogic has been a leader in transformative technologies for over eight to 10 years. Initially, we set up platforms like Exploits and Code Expire to enable the exposure and transformation of legacy stacks to newer ones, utilizing the best available technologies of that time. Since then, our progress has only improved, with many enterprises expressing a desire to transform.  However, concerns about the transformation process, including the investment of time and money, persist. Larger enterprises, in particular, worry about the magnitude of the investment and potential disruptions to customer experience. Despite smaller players adapting more easily, these fears often hinder larger entities.  

Today, the landscape has shifted significantly. Products crafted a decade ago pale in comparison to modern ones in terms of user experience, UI/UX design, and performance levels. The demand for constant updates and seamless mobile experiences from users is driving enterprises to transform.  With a decade of experience in such transformations, GlobalLogic is well-equipped to assist clients in this essential move. We leverage our expertise, technological prowess, and market-leading position to address their transformation needs effectively.  

What trends or challenges are you noticing among different-sized enterprises, and how is your company addressing them?  

I believe we face two key challenges. Firstly, there is a substantial experiential gap between what people have today and what they aspire to have tomorrow. Bridging this gap requires significant retraining efforts once individuals transition to the new platform. People must unlearn old practices and acquire new skills, and this retraining effort is a crucial aspect. The learning process can be challenging, especially when the staff is not adept at handling such transitions. The entire experience involves a considerable amount of reading and learning, as customers are willing to embrace the new platform.   

Secondly, I want to highlight a challenge that precedes deployment—namely, the development phase. This phase poses challenges as the structure may not be nimble enough, and there is a need to balance agility with scale while maintaining a polished approach. Integrating the development engine with the product engine is a critical step. Acknowledging the need for transformation involves thinking through the entire process and recognizing its inherent challenges. For most industries, apart from those deeply hardware-centric, requirements are dynamic and subject to change. The discourse within our organization leads to an important position in understanding the dynamics of the players and recognizing that meetings are not one-size-fits-all.  

What's GlobalLogic's roadmap? Are there any tech or general investments planned, or revenue goals in sight?  

I believe that along with Hitachi, the company's vision and strategy are oriented towards the medium to long term. This allows us to invest deeply in the technologies we prioritize, such as generative AI, quantum computing, and meta-related technologies. In 2024-25, we plan to significantly increase our investments in generative AI, with ongoing sub-programs expanding. These investments not only simplify processes but also give us a substantial competitive edge. Another priority for us is sustainability. There's significant potential in leveraging technology to gamify sustainability efforts, making it more than just a corporate initiative but a collective endeavor involving all 30,000 employees. These areas represent our key investment focus.   

From a revenue growth perspective, given the technological backdrop, we aim for a growth rate of over 20%. We are confident in our ability to sustain and even surpass this growth trajectory.