Bangalore: Infosys, India's second largest software services firm, will expand its 'Innovation Fund' five times to $500 million (Rs 3,116 crore at 1 dollar = 62.32 rupees) to provide financing to start-ups and new technologies like artificial intelligence.
"I am very excited that our board has approved expanding our start-up funding firm from 100 million dollars to 500 million dollars and we will dedicate a part of that investing in India," Infosys CEO and managing director Vishal Sikka said.
The Innovation Fund was formed in 2013 to fund start-ups and other innovative businesses outside the company. Mr Sikka said the company will chart out the details of using the funds in another three months.
The fund will invest in start-up companies from across the world and will have a special focus on India, he added.
"Today, we are announcing a 500 million dollar fund and it will take time, of course, to draw down from this fund, that will start investing in companies from around the world, but we also want to have a dedicated focus especially on Indian start-ups," Mr Sikka said.
In August last year, Mr Sikka had spoken about a new strategy, focused on renewing core business while building new capabilities like design thinking at the same time.
This, Mr Sikka said, will help the 33-year old firm regain its industry bellwether status.
In December, Mr Sikka had said Infosys is focusing on entering new segments and acquiring small innovative companies, working on "technologies of tomorrow" like artificial intelligence (AI), automation, Internet of Things (IoT) as well as collaboration and design technologies.