Offshoring Company India, KPO Services in India Rise of KPO Services in India According to a recent study by Evalueserve, "the worldwide Knowledge Process Outsourcing (KPO) sector will grow 45% per annum to an estimated $17 billion by 2010 and India will represent 71% of the market share." The migration of KPO activities has intensified in recent months with significant growth coming from the pharmaceutical, biotech and investment banking industries. Some of the hot KPO activities include analytics, R&D, legal services and market research.  For companies wanting to leverage KPO, there are still several challenges to overcome like data security/HIPPA concerns, intellectual property issues and government regulations. Despite these challenges, we still expect US companies to significantly increase the volume and depth of KPO activities executed from India over the next 12 to 18 months.  While still in its early stage, the migration of this work will have a different and potentially greater impact on the Indian and US economies and the way companies strategically plan, grow and compete in the next few years. Emerging Cities in India for Offshoring The rapid growth of IT, ITES, BPO and KPO services executed in India over the past 10 years has dramatically changed the Indian economy and many of its major cities.  While Bangalore, Delhi, Mumbai, Hyderabad, Chennai and Pune have been the major destinations for these services and investment to date, the migration of these services is now growing and shifting to many of the "Tier II and Tier III" cities within India.  Cities like Kolkata, Kochi, Ahmedabad, Jaipur, Chandigarh and Nagpur have all experienced increasing levels of growth and investment from major Indian service providers and global corporations.  According to a recent article in The Economic Times, some of the largest IT-ITES/BPO companies including Wipro, MphasiS, Cognizant, TCS and Satyam have announced plans to establish large new facilities in some of the even smaller emerging cities in India like Mysore, Vizag, Mangalore and Coimbature. Some of the key reasons for this trend include the national and local government's efforts to promote economic development in the smaller cities, the continual search for talent and lower attrition levels, less expensive real estate costs with improving infrastructure and a need to spread the geographical risk across several different sites within India.  India is facing intensifying competitive offshoring pressures from countries like China and the Philippines.  We believe that the development and performance of these Tier II and Tier III cities will prove to be a critical factor in India's ability to maintain and improve its leading position in providing offshore IT, ITES, BPO and KPO services for US and European companies.   < Offshoring Company India, KPO Services in India Designed by Bitranet.com