Synopsis: Shares of Sasken Technologies may remain in focus after the company announced a new Center of Excellence in Hyderabad. The move is aimed at strengthening delivery capabilities and expanding presence across high-growth engineering segments such as 5G, connected devices, and embedded systems.
India’s technology services sector is increasingly witnessing a shift from traditional IT outsourcing toward specialised engineering, product development, and digital transformation services. Companies with deep capabilities in semiconductors, telecom software, automotive electronics, and connected devices are now attracting greater investor interest.
Within this space, a small-cap Tech Engineering stock is emerging as a niche player with exposure to next-generation technology themes. The company’s latest Hyderabad expansion is being seen as a strategic step to capture future demand across global innovation-led sectors.
With a market capitalisation of ₹1,871 crores, the shares of Sasken Technologies were trading at ₹1,232 apiece in today’s market session, down 3.92% from its previous day’s close of ₹1,282 apiece. The stock, however, has corrected significantly over the past year, dropping by 23.80%.
Why Is Sasken Technologies in Focus?
Sasken Technologies has announced the launch of a new Center of Excellence (CoE) in Hyderabad. The center is expected to support customers across industries such as automotive, smart devices, HiTech, satellite communication, and industrial segments. Its primary objective is to enable closer customer collaboration, accelerate engineering cycles, and deepen engagement with strategic chipset partners such as Qualcomm and its OEM ecosystem. For Sasken, this could strengthen its positioning in high-value engineering programs and future technology-led contracts
The center is expected to focus on advanced engineering solutions across multiple technology domains such as connected products, embedded platforms, and next-generation communication systems. Management stated that Hyderabad’s strong engineering ecosystem makes it an ideal location to scale operations and accelerate customer delivery.
Why This Expansion Matters
The Hyderabad CoE will focus on next-generation engineering across multiple technology domains including connected devices, 5G-led platforms, IoT solutions, embedded systems and digital product engineering. These capabilities are increasingly relevant as global enterprises invest in smart products, intelligent networks, and digitally connected ecosystems.
The company plans to hire over 100 specialised professionals in the coming months for high-skill roles across semiconductors, automotive, ODM, and data science. These hires are expected to support advanced engineering programs in connected devices, intelligent platforms, and next-generation digital ecosystems.
Strategic Importance of Hyderabad
Hyderabad has emerged as one of India’s leading technology hubs with a growing semiconductor ecosystem, deep engineering talent base, and strong multinational presence. Several electronics, chip design, and digital product companies have expanded in the city in recent years.
By setting up a Center of Excellence in Hyderabad, Sasken may improve hiring access, delivery scale, and client engagement while positioning itself closer to strategic ecosystem partners.
What It Means for Investors
Sasken is increasingly positioning itself beyond conventional IT services into specialised engineering R&D, where entry barriers can be higher, and long-term margins may be stronger. Its presence in sectors such as telecom, automotive electronics, embedded systems and connected devices gives it exposure to structural technology trends.
If the company successfully converts capability expansion into revenue growth, investors may begin valuing it more as an engineering innovation company rather than a standard IT services player.
What Could Be Watched Ahead
Sasken’s Hyderabad expansion reflects a targeted push into premium engineering services rather than generic IT outsourcing. If these investments translate into stronger client wins and scalable growth, the stock could attract fresh attention as a niche midcap technology play.
Investors may closely track deal wins in semiconductor and telecom verticals, revenue growth in engineering services, management commentary on global demand trends, and margin movement as expansion costs are absorbed. Progress in partnerships with chipset ecosystems may also remain an important trigger.
About the Company and Financials
Established in 1989, Sasken Technologies is a product engineering and digital transformation company serving global clients across semiconductors, automotive, telecom, industrials, consumer electronics, and satellite communications. The company offers chip-to-cognition R&D services, embedded systems, software development, testing, cloud integration, and next-generation connectivity solutions. With over 30 years of telecom expertise, it has capabilities across 2G, 3G, 4G, and 5G technologies.
Sasken has a global presence with India as a key delivery hub. Its niche positioning in specialised engineering services gives it exposure to growing demand in advanced technology and digital product development.
Year-on-Year analysis: Revenue from operations has increased from Rs.144 crores to Rs. 250 crores, up 73.61% for December Q3’FY26 compared to Q3’FY25 , with reported operating and net profit being Rs. 25 crores and Rs. 9 crores for the same period.
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