 "Information technology, IT, Tech, Data, cloud, internet")
Mid-tier IT services firms, along with small technology companies, face higher risk to business operations because of the coronavirus disease (Covid-19), compared to their larger peers, according to industry experts.
They said higher dependence on some of the most affected business segments along with low fire power in terms of cash reserve make these smaller firms vulnerable in case things don’t improve in the coming quarter.
Also, exposure to smaller clients and dependence on higher number of small deals could be seen as weak links for the firms in the current environment.
“Tier-1 IT firms mostly have Fortune-500 companies as
