Processing .....please wait.. 
The article has been forwarded.... 
News >> Technology >>
Legal outsourcing is the next big thing: Nasscom
By agencies
|
Monday, 12 September 2005, 19:30 IST |
1 Comments
NEW DELHI: With the international law firms, the legal departments of MNCs, and legal publishing and research firms, particularly based in the U.S., increasingly looking at sourcing services from India, Legal BPO may well be the next big opportunity for Indian firms.
Indian firms, till now, have cornered only 2-3 percent of the potential market says a Nasscom report.
"While the size of the Indian legal BPO segment is still very small, the success achieved by early movers has established the proof-of-concept, which is the key to unlocking the potential in new waves of offshore-outsourcing.
Estimates of the current addressable market potential for legal services outsource able from the U.S. alone are pegged at $3-4 billion.
Though there is little hard data available to quantify the legal off shoring segment of the Indian BPO industry, it is estimated that only about 2-3 percent ($60-80 million) of the potential market has been tapped so far," says the latest Nasscom report on Legal BPO.
The increasing maturity of the business process outsourcing industry has prompted businesses to review their service delivery models, in order to seek ways of leveraging resources from lower-cost offshore locations, it says.
"The legal services segment is a relatively newer segment that has witnessed recent interest and is believed to hold significant market potential.
Though a bulk of the legal services work considered offshoreable comprises para-legal and secretarial support, a few companies are beginning to `push-the envelope' to offer a broader range of more value-adding services such as contract review, patent writing, litigation support, general research and review," it says.
Global spending on legal services is estimated to be at least over $250 billion, with the U.S. accounting for more than two-thirds of the market.
The report observes that increasing levels of interest in offshore-outsourcing of legal services to India have been aided by a steady growth in demand for legal services.
"The legal services outsourcing segment in India is still at a nascent stage, with no known large `one-stop' service provider.
Currently, the market comprises a fair mix of captive centers established by large law multinational corporations as well as third-party providers," it says.