Tech Mahindra bets blockchain reputation on Web3 and metaverse

The Situation: Tech Mahindra is rebranding some of its competencies to address the hot topics in the industry.  It is organizing its blockchain competency to encompass the metaverse, Web3, non-fungible tokens (NFTs), as well as blockchain solutions. It says it is doing so in response to demand for solutions that foster trust in ecosystems – and has labeled the new practice “SmarTrust.”

Tech Mahindra has a good track record with enterprise solutions and services with blockchain – winning work with a wide range of global clients. The new SmarTrust competency adds NFTs for digital asset monetization, metaverse for immersive experiences, and Web3 for ‘new internet offerings’.

Learn more about Web3 and metaverse here; blockchain, here; and NFTs, here.

Tech Mahindra says SmarTrust is a response to customer demand. The under-pinning proven blockchain competency is likely to provide confidence for customers experimenting with the other next-gen buckets now under the same digital roof. But the association, with less proven expertise, carries a risk.

Metaverse meltdown offers customers beneficial lessons

Tech Mahindra took a risk when inviting analysts to see and hear its latest digital updates on its commercial metaverse platform – TechMVerse. Tech Mahindra will use the high-definition 3D mobile/web-first platform for future events, and it is developing its use in retail banking, car showroom sales, and other use cases. It provides digital worlds where consumers roam and interact as their avatars, with “salespeople” and information booths to help us through commercial processes and digital transactions.

But first, there are glitches to overcome. Logging in and wandering around the virtual event was easy in rehearsal when numbers were low, but when it was time to go live, web sockets got choked resulting in glitches including torso-free heads as avatars, as attendees struggled to engage with the experience. Before long, bewildered attendees were evacuated to Zoom to continue in a familiar Web2 fashion. Faster networks and the expansion of 5G will help in the future.

In the meantime, we applaud Tech Mahindra’s efforts to push the boundaries, and note the wisdom of learning lessons with an analyst audience, which paying customers can only reap the benefits of. But the experience for event attendees was confusing and ineffective. And that provides a glaring example of the risk inherent in associating the quality of its metaverse delivery with that of its blockchain creds.

A range of blockchain-based vertical platforms is rolling out with use-based pricing to suit enterprise experimentation

More obvious successes have come in using the company’s Polygon-based NFT marketplace for a charity fund-raiser promoting the launch of the Mahindra Thar 4×4 car. Customers bid for one of four Thar-related NFT artworks. Winning bidders got to sample a real-world off-road experience – along with ownership of one of the NFTs. Bidding – to the benefit of Project Nanhi Kali (supporting the education of underprivileged girls in India), exceeded the list price of the car in some instances. Tech Mahindra has also architected 3^rd Party NFT markets such as Middle Mist and Cryptoart Island where cryptos are used as payment trails.

Web3 offerings currently focus on DeFi (decentralized finance) solutions. A South African bank is among those with whom Tech Mahindra is exploring DeFi implications and opportunities. DeFi remains a challenge for established banks since, by definition, it bypasses the need for incumbent financial institutions. Some argue its use of blockchain can improve trust between institutions. Read the HFS take – Defy Defi No More.

Blockchain platforms remain the meat and drink of the practice right now, drawing on the knowledge of 80 blockchain experts working in the core Tech Mahindra SmarTrust team and a further 300-350 working in dedicated delivery teams in strategic business units. Tech Mahindra has delivered more than 20 blockchain-based platforms; cases include SKU-level traceability for drugs and food, supply chain management and validation at a US car company, and a digital twin platform to track product life cycle from design to warranty service.

Tech Mahindra offers a range of platforms aimed at industry verticals including aviation record management, loan securitization in banks, and healthcare supply chain and clinical trials, all of which come with enterprise-experiment-friendly use-based pricing.

Not to be outdone, data and AI practice gets a facelift

Tech Mahindra has also given analysts a peek into advancements in its data and AI (artificial intelligence) practice. Not to be upstaged by sexy Web3 content, Tech Mahindra rebranded its data consulting and related portfolio as AmplifAI. The name is a nod to the amplification of the power of AI when it is infused into business processes. This is not just a go-to-market change. Adjustments include an aggressive campaign to combat the great resignation and attract and retain top data talent, with a keen investment in nearshore. The data and analytics practice is currently 15,500 associates strong with client use cases across helping customers on their journey to enterprise AI.

The Bottom Line: Web 3 and metaverse are an opportunity to redesign processes and unlock new sources of value. Don’t get seduced by sexy yet unproven UX – focus on outcomes

Tech Mahindra is assembling an impressive array of case studies demonstrating its mastery of blockchain while remaining true to some of its bread-and-butter services. It must be careful that its reputation here is not held back by association with even newer technologies—of which few can have any claim of mastering yet—such as Web3 and its annoying kid brother, the metaverse.

The risk is glomming on to the most trendy buzz words of the moment with no value demonstrated. As evidenced by the poor user experience in the TechMverse, they are still clearly building their capabilities. Even were the UX to be fixed, simply repeating the physical world in the metaverse is no better than putting PDFs of catalogs on the internet rather than developing the full e-commerce solution the platform enables.  It is still early days in Web 3; the experimentation from Tech Mahindra is appreciated, but the value must be enhanced.