Satyam has reportedly lost about 46 customers out of 600 since its massive financial fraud surfaced.
India’s Economic Times reports that these Satyam customers have moved to rival outfits. The news isn’t unexpected as a few CIOs had mentioned their intentions to ZDNet off record.
The paper reported that customers such as Abu Dhabi Bank, Applied Materials, State Farm Insurance and Sony are some of the big names that have moved out projects or are in the process of leaving Satyam, which has been rocked by financial fraud.
These disclosures are likely to surface as potential buyers conduct due diligence on Satyam, which is seeking to sell a 51 percent stake in the company.
While losing 46 customers isn’t trivial, Satyam appears to be hanging on to most of its base. For perspective, Satyam became India’s Enron and only lost about 8 percent of its customers. It’s unclear whether that customer loss tally speaks to the difficulty getting out of outsourcing deals or faith in Satyam.
