Indian IT and BPOs to generate $10 Billion revenue by 2020
By siliconindia   |   Friday, 21 May 2010, 15:30 IST   |    2 Comments
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Indian IT and BPOs to generate $10 Billion revenue by 2020
Bangalore: Indian IT and BPO sectors is going to grow in a big way as it may get $10 billion from Germany, Switzerland and Austria by 2020. This is much more than $2.6 billion, which is earned from the regions across the IT, BPO and engineering services against the market size of more than $53 billion. Strategic and tactical steps taken by the Indian companies will leverage the growth of this business, which is the largest market in Europe and will enable them to succeed in this market, according to the latest report by Nasscom and consulting firm PricewaterhouseCoopers. "There is a huge demand in the small and medium enterprise sector that has largely remained untapped, and verticals like automobile, manufacturing and logistics have emerged as quick-win opportunities for Indian companies," said Sankar Ramamurthy, Executive Director, PricewaterhouseCoopers. The report called 'Opportunities for Indian IT - BPO industry in Germanic countries' pegged the BPO market to be around $4 billion and off shored engineering services around $3.4 billion. Germany and Austria each spend close to 2.5 percent of the GDP on IT, whereas Switzerland leads the norm by spending over five per cent. The report said that, over 95 percent of the enterprises in the Germanic countries operate in chemical, machine building, automotive and electrical sectors and belong to the small and medium size enterprise segment and there is a huge opportunity in the large mid market segment in the Germanic region. "Largely export-dependent, these economies suffered heavily during the recent financial meltdown but are recovering. Another challenge is of their shrinking working age group and the shrinking enrolments in universities in tech courses," said Nasscom Vice-President Ameet Nivsarkar.

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