Around about this time India had an extraordinary amount of recently graduate software engineers. This surplus in software engineers resulted partly from the government vision to deregulate, low inflation and improvement the countries global competitiveness. Part of the government vision to improve the economic growth would be achieved by providing education grants to intelligence young Indians to study. This served to improve the education standards of India and bridge the gap between India and the rest of the globe. The Indian government realised that only through India becoming more globally connected would India be successfully improve economic growth and that the local language was the major problem in achieving this goal. Young intelligent Indians were encouraged to study computer science because on this level they would be able to communicate with the rest of the world and add value as maths and programming logic and languages are the same all around the world.

The association between Wipro and GE would means Wipro would receive a considerable amount of Information Technology work from GE to assist with programming development.

Annual incomes of the average Indian at the time were dismal and the comparison between salaries in the US and India even for programmers was not even comparatively close.

With India’s cheap and abundant supply of software engineers it was hard for GE not to channel all software develop through India, which undoubtedly was felt by the local US programmers. However due to the rapid increase in the internet phenomena the demand for programmers in the US was still quite high and the GE US programmers could easily be absorbed in the demand at the time.

In the mid 90s with Wipro employing many young Indian software engineers and pulling 50% of its revenues from information technology contracts it soon became clear to Wipro management what the business core competencies are and will be in the future. Wipro could now identify its mainstream business activity and concentrate less on those activities which were not performing as well. What Wipro needed was