Wipro asset strips Infocrossing -

Wipro is about to sell all the data centres and other computer hardware assets of its US subsidiary Infocrossing.

According to the Times of India the move is to unlock value at the outfit's 'non-core' business.

Wipro apparently has had initial offers from several medium to large US telcos. The deal is said to be worth $300-$400 million.

A deep throat in Wipro said the Infocrossing's data centres were not the "game changer" it wanted over the next three to five years. . Data centres are being considered non-core by outsourcing vendors, but are becoming more important to telecom firms. We guess clouds are for other people.

Wipro said that so far the interest it has had has been unsolicited and there more than one potential bidder.

In August 2007, Wipro wrote a cheque for $600 million for Infocrossing. At the time the outfit only made about $200 million.

At that time, the company had plans to increase Infocrossing revenues five-fold to $1 billion by 2010. However it soon twigged that punters did not make decisions based on whether a vendor owns data centre.

There are some things that Infocrossing has which Wipro still wants and that's mostly its lucrative healthcare business. Infocrossing has Nestle, BP, Capital One and Best Buy among its top customers.