IT companies see growth deceleration in Europe though US bounces back

"Companies in the European region are little cautious on outsourcing because of Brexit-related concerns", says Pareekh Jain

Even though Indian IT services firms witnessed strong growth in their US business in the June quarter, Europe was a major worry for most of the companies owing to lingering uncertainties over Brexit and cross currency headwinds. The implementation of new GDPR (general data protection regulation) guidelines had also affected their revenue growth in the region during this period.

For instance, country’s second-largest IT services player Infosys saw its revenue from Europe declining 0.9 per cent in Q1 of FY19 while for Wipro it fell 6.6 per cent on sequential terms. Noida-based HCL Technologies also witnessed a similar trend with