Why GE’s Alleged $38 Billion Financial Fraud Will Have Little Impact On Indian Tech Majors

Just as Boeing got away with hiring $9/hr engineers on its 737 MAX planes, GE and its Indian Mafia accomplices will get away with this fraud too.

No one will be prosecuted, nothing will be done – as usual.

All India Incs can think about is how to scam their way around it and keep making $ off GE.

GE is clearly just another once-great US company burned by outsourcing to the criminal thief nation of India. The accouting fraud scandal is reminiscient of the Standard + Poors scandal in India years back.

Just as World Bank, Lehman, Boeing, and Sun Microsystems were burned by India Incs + wised up.

“GE Built The Formative Years Of Indian IT Majors

With India as its global engineering base, GE was the biggest customer for TCS, Wipro, Tech Mahindra and Infosys with its business accounting for nearly 30-50% of revenue. Clearly, GE, with deep verticals in aviation, oil and gas, aviation and healthcare was the biggest outsourcer to Indian IT firms. In a way, GE more than any other company significantly contributed to the offshoring tag in India and also contributed to the formative growth at Genpact, Wipro, Infosys and especially TCS and Tech Mahindra. 

But all that changed when the American conglomerate changed gears and shifted its business model to become more focused on solutions and started investing in IT platforms like Predix to power its mission-critical operations. With deep institutional knowledge and heavy product expertise, GE gradually reduced its outsourcing business to India, cutting down from 74% to 50% when CIO Jim Fowler took over. With the setting up of GE Digital, all commercial software and internal software development happened in-house. By bringing more hands-on work inside, GE pulled all its capabilities together to solve mission-critical problems in-house”.

Posted on