1 mln US jobs to be outsourced by year-end 2006

The number of jobs offshored from the US to India and elsewhere has tripled since 2003, to a projected total of 1 mln in 2006, with roughly 25% of them in high tech.

Published on: May 22, 2006 Department: Outsourcing

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Outsourcing is 7% of India’s GDP
Indian outsourcers to earn $220-280 bln by 2012
European outsourcing worth $40.9 bln in 2007
Indian outsourcing companies to earn $10.73 bln by 2011
Outsourcing to grow 8.1% in 2008
Indian software salaries up 18.7% in 2006
New Asia-Pacific outsourcing contracts command $25 mln
HR services up 8% in 2006
Small business who outsource IT end up spending less than 5% on maintenance and upgrades
87% of outsourcing buyers to continue outsourcing
HR outsourcing to grow to $18.9 bln by 2010
Asia-Pacific IT outsouring market reached $10.9 bln in the first half of 2006
Brazilian printing outsourcing up 42.5% in 2005
What law companies outsource
IT offshore spending to reach $29.4 bln by 2010
Top 100 Western European outsourcing deals generated $40.5 bln in 2005
Mobile network outsourcing to grow to $55.3 bln by 2010
Outsourcing spending by Asia-Pacific companies to reach $16 bln in 2010
Global procurement BPO market generated $627 mln in 2005
Indian software and backoffice industry generated $23.6 bln in fiscal 2005-2006
1 mln US jobs to be outsourced by year-end 2006
European service providers plan to increase offshore assets by 65%
16 outsourcing megadeals awarded in 2003, 12 in 2004, 11 in 2005
130K US jobs offshored so far in 2006
Payments outsourcing generated $3.3 bln by 2005
Asian business process outsourcing market reached $6 bln in 2005
Gartner predicted 85% of US companies would outsource at least 1 HR function by 2006
Outsourcing saves 15% on average
Outsourcing industry generated $23.4 bln for India
Business outsourcing market up 33% in 2005
29K legal jobs to migrate to India by 2008
India’s outsourcing industry employs 1.2 mln people, contributes $23.4 bln to GDP
38% of multinational companies plan to change the distribution of their research and development centers within the next 3 years
Desktop management outsourcing reached $28 bln in 2005
Outsourced processing services in Asia-Pacific to grow at 11.4% a year
Software and services exports from India reached $17.2 bln in fiscal 2005
US outsourcing market to grow 4.2% in 2005
Value of top 100 outsourcing deals down 1.2% in 2004
$50 bln will be spent on offshore outsourcing by 2007
Global outsourcing to create 337,625 US jobs by 2010
Packaging and test outsourcing to reach $15.5 bln in 2005
Worldwide BPO market to grow at 10.9% a year
Value of outsourcing contracts down 10-15% in 2005
Global PC shipments up 17% in Q3 2005
19% of US businesses have some offshore outsourcing strategy
Indian outsourcing brought in $12 bln in 2004
UK and Germany got most of the European outsourcing contracts in Q2 2005
US IT offshoring to double to $14.7 bln by 2009
Asia-Pacific IT outsourcing to grow at 10.1% a year
IT outsourcing in EMEA to reach $90.9 bln by 2009
33% of IT companies will increase outsourcing in 2006
$5.4 bln spent on business process outsourcing in Asia-Pacific in 2004
81% of UK companies to increase outsourcing in the next 2-3 years
BPO outsourcing to grow at 3.3% a year
Indian software and BPO industries to grow 32%
HR outsourcing reached $177.3 mln in Denmark
Average cost savings from offshoring operations are about 10%
65% of corporate CIOs and 45% of public sector CIOs have multiple outsourcing providers
40% of companies plan to outsource to China in the next 3-5 years
Estonia, China and Morocco led the world in outsourcing growth in 2003
Top outsourcing destinations: India, Philippines, Central America
15% of Singapore IT companies outsource
US software industry lost 16% of the jobs between 2001 and 2004
Indian software exports reached $12 bln in fiscal 2004-2005
Human resources outsourcing generated $1.7 bln in Q1 2005
Indian tech exports reached $17.2 bln this fiscal year
74% of outsourcing companies are happy with the deal
15% of manufacturing companies outsourced research and development in 2004
Theft might cut Indian call center growth by 30%
IDC predicts double digit growth for procurement outsourcing
70% of companies had negative experience with outsourcing, 44% did not get any cost saving
$12 bln will be spent on offshore research and development in 2010
70% of Indian business process outsourcing companies to die within the next few months
5% of IT jobs are offshored now, 20% will be offshored by 2015
1.1% of IT budgets in 2005 to go offshore
$3.0-$4.6 bln of testing work is offshored
Customer service outsourcing to reach $12.2 bln by 2007
$17 bln of US work to be offshored in 2008
80% of those who outsource to cut costs will fail
Indian software outsourcing to total $17.3 bln in 2005
15% of US IT projects to be done in India
IT services market grew 6.7% in 2004
IT outsourcing grew 37% in 2004
Swedish outsourcing market to grow 7.4% in 2005
Norwegian outsourcing market grew 23% in 2004
Danish outsourcing market grew 30% in 2004
830,000 jobs to go offshore by the end of 2005
Outsourcing deals reached $66.1 bln in 2003
By 2010 15% of US IT jobs to migrate to India
UK outsourcing was up 150% in 2003
72% of the companies outsource part of their IT
67% of UK IT directors don’t see an alternative to offshoring
$17 bln of IT services will go offshore by 2008
12000 legal jobs were outsourced in 2004
Offshore outsourcing to grow at 20% a year - new research from Meta Group
100K jobs have been lost to Chinese outsourcing in 2004
Indian outsourcing not impacting call centers in UK
Manufacturing firms to increase outsourcing by 9.3% in 2005
Outsourcing to Malaysia to grow at 27.2% a year
India to lose outsourcing market share by 2007
Security outsourcing to reach $2.4 bln in 2004
Who outsources security?
1.2 mln European jobs to go offshore
80% of companies to outsource at least one IT function
94% of Silicon Valley companies send work offshore
Canada loses IT jobs through offshore outsourcing, gains through US contracts
2.3 mln banking jobs offshored by 2010
At least $75 mln of US government contracts goes offshore
More than a third of service jobs can be outsourced
Only 2.5% of jobs are lost due to outsourcing
3.4 mln jobs will move offshore by 2015
Financial sector to outsource at 34% annually
85% of outsourcing contracts to be re-negotiated
So far 104,000 tech jobs have been offshored
Telecoms will offshore 5%, save $14.5 bln in 2004
25% of IT jobs offshored by 2010
86% of US companies will increase offshoring
25% of current tech jobs outsourced to India by 2010
Europeans will outsource $9.6 bln in 2008
Outsourcing deals to nurture small firms
Global business process outsourcing market to reach $1 trillion by 2006
93% of IT workers concerned about offshoring
Government can outsource 900,000 jobs, Bush requires 50% by September 2004
Gartner: 40% of IT businesses will explore outsourcing in 2004
Business process outsourcing will grow
India’s outsourcing sector to grow
IDC on offshore outsourcing
Gartner on outsourcing helping backoffice
Outsourcing to hit $1.2 trillion by 2007
McKinsey: Offshoring software development numbers
eValueServe: Global outsourcing helps U.S.
IDC: IBM is the leader in outsourcing
Forrester: Outsourcing in 2005
Gartner: Offshore outsourcing will gain
Outsourcing Is Over-Hyped
R&D the next to be outsourced

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1 mln US jobs to be outsourced by year-end 2006

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