Never miss a great news story!
Get instant notifications from Economic Times
AllowNot now

You can switch off notifications anytime using browser settings.
Stock Analysis, IPO, Mutual Funds, Bonds & More

Indian IT firms unfairly targeted in Boeing 737 Max fiasco, says industry

HCL Technologies and Cyient said they were not involved in the design of the Manoeuvering Characteristics Augmentation System (MCAS).

, ET Bureau|
Jul 01, 2019, 09.52 AM IST
BENGALURU: India’s IT sector says it is being unfairly targeted for technology issues at clients, after employees of two Indian software services exporters were blamed for a software glitch on the Boeing 737 Max aircraft, which have been grounded following two crashes with significant loss of lives.

HCL Technologies and Cyient said they were not involved in the design of the Manoeuvering Characteristics Augmentation System (MCAS), a part of the flight control system that malfunctioned causing the Boeing 737 Max airplanes to crash.

“These claims are vicious and lack any veracity. Indian tech is the favourite whipping boy for any issue that goes wrong, otherwise it is projected as still being in a labour arbitrage model with no value add, ” wrote Sangeeta Gupta, senior vice president, industry lobby Nasscom on micro-blogging platform Twitter. “Time for the world to see how the industry has changed.”

According to a report by news agency Bloomberg, engineers of Indian companies were involved in the development and testing of the software.

“As a company, we place great emphasis on domain and industry knowledge and hire from the best talent pool available in the local markets,” a spokesperson for Cyient said. “This includes 1,000 engineers we have hired in the United States. Most of our engineers come with years of experience with leading aerospace OEMs and system providers.”

HCL said in a statement that it has a strong and long-standing business relationship with Boeing. “However, HCL does not comment on specific work we do for our customers. HCL is not associated with any ongoing issues with 737 Max,” it said.

Indian IT services companies have been working for nearly two decades with Boeing and Airbus, the world’s two largest passenger jet makers, building software for their planes.

This has made both the aircraft manufacturers look at India as a hub for building software and other technology solutions. Airbus and Boeing, each, have an engineering centre in Bengaluru and are expanding their operations in the country.

“Indian companies do software development and testing for Boeing’s partners as well.

Cost-effective outsourcing should not be linked to the Boeing 737 Max software failures,” said Pareekh Jain, founder of Pareekh Consulting.

India generates over $36 billion a year in engineering and R&D services, which companies offer to aerospace companies such as Boeing and Airbus, besides automotive, electronics and semiconductor firms.

Also Read

Boeing 737 MAX unlikely to restart operations by 2020

India plans to conduct its own checks on Boeing 737 Max Jets

FAA chief says Boeing 737 MAX won't be cleared to resume flying in 2019

DGCA awaiting FAA's certification to allow Boeing 737 Max to fly in India

SpiceJet to open first international hub in UAE, using now-grounded Boeing 737 Max

Add Your Comments
Commenting feature is disabled in your country/region.
Download The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.

Other useful Links

Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service