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| Indian Outsourcing Companies Look For New Markets - BusinessWeek - Web Development. Indian Outsourcing Companies Look for New Markets - BusinessWeek
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October 12, 2009, 9:42AM EST
Indian Outsourcing Companies Look for New Markets
With traditional markets suffering, India's big IT players are hoping to expand in Eastern Europe, the Middle East, Africa and Asia
By
Swati Prasad
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| Indian Outsourcing Companies: Eyeing The Peak | The Magnum Group's Blog - Web Development. Indian technology outsourcing companies are no longer content to remain in the background but want to be in the lead.
Top Indian tech companies were long satisfied with doing software maintenance and database upgrading work for US and European firms like Citigroup Inc. and BT Group PLC (who were looking for cost effective solutions). But the Indian firms now want a larger share of the pie: they are broadening their services and want to compete for more advanced work which is usually outsourced to bigger, rival companies like International Business Machines Corp., Hewlett-Packard Co, or Accenture Ltd.
They are looking for a chance to run external data centers for customers which will help them expand into increasingly popular areas of “cloud computing”, a style of computing in which dynamically scalable resources are provided as a service over the Internet. They are attempting to combine these services into “end-to-end outsourcing packagesâ€? for clients as well.
Though Indian firms have tried for years to advance to the next level with their offshoring model, they are now under pressure to change their business format. The recession and increasing competition worldwide in the tech services industry has knocked down the annual 30% revenue growth they have been accustomed to. Annual export revenue growth in the outsourcing industry came down to 16% in the current financial year which ended in March. Industry experts, NASSCOM (The National Association of Software and Services Companies), predict a growth of only 4% to 7% this financial year. A company spokesperson from a Houston-based outsourcing advisory firm, TPI, says that India needs to really convert their businesses totally to continue to see the old growth range again.
Indian Outsourcing Companies: Eyeing the Peak | The Magnum Group's Blog
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Indian Outsourcing Companies: Eyeing the Peak
October 8, 2009 on 10:30 pm | In CAD News | No Comments
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