Infosys increases investment in EMEA

Czech Republic nearshore facility to double in size Onshore presence increases in UK and Germany

Bangalore India, September 6, 2006: Infosys Technologies (NASDAQ:INFY) today announced the expansion of its nearshore capability at Brno in the Czech Republic. A new 350-seat facility is under-development to double the capacity of its existing facilities by 100%. The centre will open in January 2007 and will continue to deliver Business Process Outsourcing (BPO) and increase its capacity for IT services to its European customers.

The expansion of Infosys' nearshore operations in the Czech Republic, the opening of the second onshore Development Centers in Swindon, UK the existing onshore Development Center in Germany and the nearshore operations in Mauritius reflect the increasing adoption of outsourcing by European companies. These sites ensure the skill capabilities match the requirements in Europe such as local languages, cultures and adhere to EU regulations. This expansion is also part of the company's strategy to help customers develop their global sourcing strategies by offering customers the right location and the right skill sets at the most competitive pricing.

"The debate is not about nearshore versus offshore, but about effective global sourcing "� outsourcing to the right location, with the right skill, where it makes most economic sense," said B.G. Srinivas, Head of EMEA at Infosys.. "As European customers continue to adopt a global sourcing approach, we will continue to invest in geographies where local talent provides the specialist skills required to respond to EU regulation, language capabilities, local market understanding and cultural diversity. Our nearshore operations also eliminate the perceived risk by clients who are offshoring for the first time, as a first step, to allow them to become comfortable with the concept of outsourcing."

The original Brno facility was opened in 2004. Today, it handles business processes such as sales order management, finance and accounts, market research and underwriting for clients across 16 European countries. In the new facility this will grow to offer IT services such as Infrastructure Management and package implementations such as ERP and CRM. Initially opened with a team of 30, the facility today has 130 people, which is set to increase to 350 people by the beginning of next year. The operations recruit more than 80% of its workforce locally and operations are conducted in 13 different languages including German, French and Spanish.

Infosys is a strong supporter of local talent providing diverse career opportunities, investment in training and the possibility of placement abroad.

"The expansion of Infosys' European facilities reflects the 60% growth Infosys has experienced in the region for the past three years," continued Srinivas. "We are firm believers in becoming part of the communities we operate in and have recently launched a campus recruitment program to attract the UK's brightest talent."

About Infosys Technologies Ltd. Infosys (NASDAQ: INFY) defines, designs and delivers IT-enabled business solutions that help Global 2000 companies win in a flat world. These solutions focus on providing strategic differentiation and operational superiority to clients. With Infosys, clients are assured of a transparent business partner, world-class processes, speed of execution and the power to stretch their IT budget by leveraging the Global Delivery Model that Infosys pioneered. Infosys has over 58,000 employees in over 35 offices worldwide. For more information, visit www.infosys.com.

Safe harbour Statements in connection with this release may include forward-looking statements within the meaning of US Securities laws intended to qualify for the "safe harbor" under the Private Securities Litigation Reform Act. These forward-looking statements are subject to risks and uncertainties including those described in our SEC filings available at www.sec.gov including our Annual Report on Form 20-F for the year ended March 31 2006 and our quarterly report on Form 6-K for the quarter ended June 30, 2006, and actual results may differ materially from those projected by forward-looking statements. We may make additional written and oral forward-looking statements but do not undertake and disclaim any obligation to update them.