Outsourcing is 7% of India’s GDP
Information technology and IT-enabled services will employ 4 mln people in 2008 and account for 7% of GDP and 33% of India’s foreign-exchange inflows, according to Nasscom.
Indian outsourcers to earn $220-280 bln by 2012
Everest Research Institute found that the addressable market for Indian BPO outsourcers will be $220 bln to $280 bln by 2012. Today, the report says, the total offshore BPO market is about $28 bln, with the Indian-sourced portion of that at $10.2 bln.
European outsourcing worth $40.9 bln in 2007
The value of outsourcing deals signed in Europe in 2007 was $40.9 bln, compared with $26.6 bln in the Americas, according to TPI.
Indian outsourcing companies to earn $10.73 bln by 2011
India’s IT services market is forecast to grow to $10.73 bln by 2011, at a 5-year CAGR of 23.2%, according to Gartner.
Outsourcing to grow 8.1% in 2008
The global outsourcing market continues to grow at a steady pace, with a forecast growth rate of 8.1% in 2008. Publicly reported IT outsourcing (ITO) and business process outsourcing (BPO) contract values decreased overall by 50% in 2007, Gartner reports. Indian providers are growing approximately 40% annually in the US and 60% annually in Europe.
Indian software salaries up 18.7% in 2006
Employees in the software development and IT sector saw their salaries raised at an average of 18.7% in 2006 in India, IDC reports.
New Asia-Pacific outsourcing contracts command $25 mln
The total value of new (as opposed to renewed or restructured) outsourcing contracts to Asia-Pacific in the $25 mln plus bracket – where most significant outsourcing activity occurs – is $5.4B, an increase of 100% on the first half of 2006. Eight BPO contracts, in the $25 mln or greater category, with a total contract […]
HR services up 8% in 2006
In 2006, HR services spending started to level off and grew 8% worldwide over 2005, according to IDC. The worldwide market for HR services in 2006 showed an increase of 8% over 2005. In the United States, HR services grew 8.7%.
Small business who outsource IT end up spending less than 5% on maintenance and upgrades
The majority of SMBs that outsource (54%) spend less than 5% of annual revenues on maintaining and upgrading IT infrastructure, while 64% of non-hosting companies spend more than 10% of revenues on IT. Companies that outsource (68%) are much more aggressive about using IT assets to engage in e-commerce than companies that manage technology infrastructures […]
87% of outsourcing buyers to continue outsourcing
87% of companies interviewed by KPMG mentioned they planned to keep outsourcing level the same or increase it. 42% of the organizations believe that their sourcing contract has definitely improved their financial performance, and 27% said that sourcing has definitely improved their competitiveness.
HR outsourcing to grow to $18.9 bln by 2010
Human resources (HR) business process outsourcing (BPO) is the fastest-growing segment of HR services and will grow at a compound annual growth rate (CAGR) of 16% in the United States, reaching $18.9 bln in spending by 2010. In 2004, 37% of US HR outsourcing spending was on HR BPO services. IDC projects that HR BPO […]
Asia-Pacific IT outsouring market reached $10.9 bln in the first half of 2006
According to IDC, the total ICT Outsourcing and Managed Services market in the Asia-Pacific region topped $10.9 bln in first half of 2006. IDC expects the total market for 2006 to reach $23 bln, or an annual growth rate of 12% over 2005. However, Value Added Managed Services (VAMS) is expected to outpace the entire […]
Brazilian printing outsourcing up 42.5% in 2005
Brazilian printing outsourcing market achieved record YTY growth of 42.5% in 2005. Nearly 8 bln pages were printed by the use of such service as a whole in 2005. 41% of the 500 largest enterprises in Brazil have outsourced printing. Another 20% of the remaining companies intend to do so up to the end of […]
What law companies outsource
Almost two-thirds of US law companies said their firms had outsourced some functions within the past year and more than half reported that their firms had begun outsourcing some functions five or more years ago. The most frequently outsourced functions were related to documents?mailroom, messenger, and reprographics. The second-most frequently outsourced functions were administrative: travel […]
IT offshore spending to reach $29.4 bln by 2010
According to IDC, the global and US markets for offshore IT services continue to grow at a remarkable rate, driven primarily by US customer demand. IDC predicts that offshore IT services vendors will capture $29.4 bln in worldwide customer spending by 2010, with little sign of a market slowdown.
Top 100 Western European outsourcing deals generated $40.5 bln in 2005
The total value of the top 100 Western European outsourcing deals reached $40.5 bln in 2005, according to IDC. This compares with $42.1 bln in 2004. In 2005, however, the largest deals got bigger, with nine megadeals signed for a total of $20.5 bln. IS outsourcing and network and desktop outsourcing (NDOS) account for the […]
Mobile network outsourcing to grow to $55.3 bln by 2010
Pyramid Research is forecasting the total outsourcing opportunity for mobile network vendors ($51.5 bln in 2005) to increase to $55.3 bln by 2010 for a 1% CAGR. The outsourcing opportunity is growing healthily, at an 8% CAGR.
Outsourcing spending by Asia-Pacific companies to reach $16 bln in 2010
IDC predicts that the amount spent on outsourcing by companies in Asia-Pacific (excluding Japan) will exceed $10 bln in 2006. India and the PRC will continue to be the high-growth markets in the next five years. With CAGR of 19% and 31% respectively over 2005-2010, these markets are not expected to have fully matured by […]
Global procurement BPO market generated $627 mln in 2005
IDC estimates that the worldwide procurement BPO market reached $627 mln in 2005, and will expand at a five year compound annual growth rate (CAGR) of 22.3% to reach $1.7 bln by 2010. The study reveals that growth in customer spending is accompanied by a more crowded and diverse competitive landscape, with more aggressive activity […]
Indian software and backoffice industry generated $23.6 bln in fiscal 2005-2006
India’s software and backoffice services industry recorded 33% growth in export revenue to $23.6 bln in the year to March 2006. This included $6.3 bln from services like call centres, payroll processing, claims management and high-end financial analytics. Including the domestic market, the sector expanded 31% on year to $29.6 bln. Overall software and services […]
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.
European service providers plan to increase offshore assets by 65%
According to a new IDC study, European service providers are quickly building up offshore capabilities. Large and medium-sized European service providers have already established themselves in a number of offshore locations such as India, Eastern Europe, and South America to compete with offshore-based and global service providers such as Tata Consultancy Services, Wipro, IBM, and […]
16 outsourcing megadeals awarded in 2003, 12 in 2004, 11 in 2005
In 2005, 11 outsourcing megadeals (deals with revenue above $1 bln) were awarded, a decline from 12 in 2004 and 16 in 2003, Gartner says.
130K US jobs offshored so far in 2006
MSNBC quotes Forrester Research on the number of US jobs offshored in 2006 – 130K so far, 3.5 mln by 2015.
Payments outsourcing generated $3.3 bln by 2005
IDC estimates that US spending on payments BPO services reached $3.3 bln in 2005 and will grow at a 5-year CAGR of 4.2% to reach $4 bln by 2010. This increasing trend of payments outsourcing presents new opportunities and challenges for financial institutions and payments processing vendors.
Asian business process outsourcing market reached $6 bln in 2005
IDC predicts moderate growth for the region from 2006 to 2010 since much of APEJ will remain at the developmental stages of BPO adoption during this period. Over the past 12 months, companies such as Accenture, EDS, HP and IBM have opened massive BPO centers in PRC, India and the Philippines, largely for servicing the […]
Gartner predicted 85% of US companies would outsource at least 1 HR function by 2006
Gartner predicted that 85% of US companies will outsource at least one component of their HR function by 2006.
Outsourcing saves 15% on average
Outsourcing of IT and business services delivers average cost savings of 15%, disproving claims that outsourcing can reduce costs by over 60%. After professional fees, severance pay and governance costs, savings range between 10% and 39%, with the average level at 15% when contracts are first let, according to TPI. Q1 2006 had the largest […]
Outsourcing industry generated $23.4 bln for India
India’s $23.4 bln outsourcing industry accounts for most of the country’s software and services industry, which makes up nearly 5% of GDP. The industry employs 1.2 mln workers, has sparked a consumer revolution in India, and is accelerating at more than 30% a year. India produces 3 mln college graduates every year, including nearly 400,000 […]
Business outsourcing market up 33% in 2005
According to IDC, the business outsourcing market progressed positively in 2005, experiencing a 33% increase in the volume of deals signed. IDC finds market adoption expanding and becoming more mainstream, as large, midsize, and small companies from a variety of industries embrace the business outsourcing model.
29K legal jobs to migrate to India by 2008
Though India had earned over $6.7 bln in US-based outsourcing services such as software and call centres till march 2005, the field of legal outsourcing was largely untapped, says Forrester Research. Legal field is poised to increase dramatically from about $80 mln annually to approximately $4 bln, with jobs growing to 29,000 in 2008, 35,000 […]
India’s outsourcing industry employs 1.2 mln people, contributes $23.4 bln to GDP
India’s $23.4 bln outsourcing industry accounts for most of the country’s software and services industry, which makes up nearly 5% of gross domestic product. The industry employs 1.2 mln workers, has sparked a consumer revolution in India, and is accelerating at more than 30% a year, NYT says.
38% of multinational companies plan to change the distribution of their research and development centers within the next 3 years
In a survey of more than 200 multinational corporations on their research center decisions, 38% said they planned to change substantially the worldwide distribution of their research and development work over the next 3 years, The New York Times reports.
Desktop management outsourcing reached $28 bln in 2005
According to Gartner, revenues for outsourcing desktop management hit almost $28 bln worldwide in 2005; at least 22 vendors participated to the tune of $50 mln or more each.
Outsourced processing services in Asia-Pacific to grow at 11.4% a year
IDC forecasts the total market size for outsourced processing services to achieve a compound annual growth rate (CAGR) of 11.4% from 2005-2009 and generate more than $23 bln in revenues by 2009. IDC found Processing Services amounted to $14.9 bln in 2005 and is forecast to exceed $16 bln by end of 2006.
Software and services exports from India reached $17.2 bln in fiscal 2005
India’s software and services exports were $17.2 bln in the fiscal year ended March 31 in 2005, up by 34.5% from the previous year, according to the National Association of Software and Service Companies. BPO services industry could be bringing in $60 bln by the year 2010, growing at over 25% a year.
US outsourcing market to grow 4.2% in 2005
Top three IT outsourcing firms in the world (IBM, EDS, and CSC) kept their top spots. Based on 2004 revenue, IBM occupied the top spot with 15.5% of the global market in 2004, while EDS ranked number two with 11.7%, according to IDC. CDC’s share was 5.5%. The global market for outsourcing services in 2004 […]
Value of top 100 outsourcing deals down 1.2% in 2004
The value of the top 100 outsourcing deals in 2004 decreased by 1.2% from $69.1 bln in 2003 to $68.3 bln in 2004. However, qualifying for the top 100 in 2004 required a minimum deal value of $184 mln, a 5.1% increase from 2003. The share of BPO and processing services deals in the top […]
$50 bln will be spent on offshore outsourcing by 2007
Global offshore outsourcing market is expected to go up to $50 bln by 2007, Gartner said.
Global outsourcing to create 337,625 US jobs by 2010
Information Technology Association of America says global outsourcing generated a net increase of US jobs in 2005 of 257,042, and is expected to create a net number of 337,625 new jobs by 2010. ITAA says US economy benefits from global outsourcing because they help increase the US Gross Domestic Product by $68.7 mln in 2005. […]
Packaging and test outsourcing to reach $15.5 bln in 2005
The outsourcing of packaging and test services will continue to expand; market revenue will be $15.5 bln in 2005. Moderated corporate IT spending, more Internet infrastructure development and selective consumer-driven demand will help stabilize the industry for the rest of 2005 and into 2006, Gartner reported.
Worldwide BPO market to grow at 10.9% a year
According to IDC, the worldwide business process outsourcing market is vibrant and brimming with opportunity. Worldwide BPO spending will experience a five-year compound annual growth rate (CAGR) of 10.9%, growing from $382.5 bln in 2004 to $641.2 bln in 2009.
Value of outsourcing contracts down 10-15% in 2005
The value of outsourcing contracts has dropped by 10-15% for 2005, according to TPI. Contract value is likely to drop to between $60-65 bln from its $72 bln average in recent years. Q3 2005 saw a record gain of 11% in the total number of outsourcing contracts signed and the number of contracts signed in […]
Global PC shipments up 17% in Q3 2005
Worldwide PC shipments increased by more than 17% in Q3 2005 despite rising interest rates and oil prices, according to IDC. International markets continued to grow quickly, but even US shipments grew by 11% YTY. The latest data show total worldwide PC shipments increasing by 17.1% YTY versus an August forecast of 13.3%.
19% of US businesses have some offshore outsourcing strategy
Only 19% of US businesses have an offshore outsourcing strategy, a study by Ventoro found. However, the percentage skyrockets to 95% if only Fortune 1000 companies are considered.
Indian outsourcing brought in $12 bln in 2004
Outsourced IT services brought in $12 bln for India 2004, leading the world in IT exports.
UK and Germany got most of the European outsourcing contracts in Q2 2005
Forrester Research indicates that firms in the UK and Germany, in particular in the financial and public sectors, closed most of the 5 bln euros in outsourcing deals in Q2 2005.
US IT offshoring to double to $14.7 bln by 2009
The US offshore IT services market is expected to nearly double in size to an estimated $14.7 bln by 2009, reports IDC. This represents a five-year compound annual growth rate (CAGR) of 14.4%. Discrete manufacturers will continue to generate the largest percentage of overall revenue for offshore services providers, accounting for 17% of spending by […]
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