• search

Indian service providers bidding for outsourcing contracts

Written by: Staff

Bangalore, Apr 20 (UNI) Indian Service Providers, who have earned a name for themselves in reliability and quality, are also aggressively bidding for outsourcing projects in the range of 100-200 million US Dollars, according to a senior official of a leading sourcing advisory firm TPI.

As many as seven projects out of 79 in the TPI pipeline for a total value of 22 billion US Dollars were bid by Indian service providers. The contract value for these projects amounted to a little over half a billion Dollars, TPI India partner and Managing Director Siddharth Pai told newspersons here today.

The projects also included some of them bid by Multinational service providers who had firmly established themselves in India and the contract value coming to India would be significantly higher, he added.

These projects would be awarded during the next couple of quarters with 10 billion Dollars worth projects to be realised during the second quater, he said, adding that major Indian players in the sector included Infosys, TCS and Wipro.

Stating that the Indian Service Providers have no longer a price advantage, Mr Pai said even the multinationals have started quoting almost the same rates and were even bidding for smaller projects with value less than 50 million Dollars.

He said the outsourcing mantra continued to be strong in the Americas as it accounted for 69 per cent of the 83 outsourcing transactions firmed up during the first quarter of 2006. During the same quarter last year the share of the Americas was only 47.3 per cent. Europe, which was also now aggressively mounting on outsourcing, was likely to improve upon in the subsequent quarters, he added.

Releasing the first quarter TPI Index, Mr Pai said the total contract value of 22.7 billion Dollars for the three month period for contracts over 50 million Dollars was up by 173 per cent year over year.

Restructuring of first generation agreements had yielded an increased impact on both the volume and value of contracts in the broader market during the quarter with restructurings representing 33 per cent of the total contract value signed. This compared to 24 per cent of total contract value signed during 2005, a record for restructurings. Of the total 22.7 billion Dollars, Business process outsourcing accounted for 7.3 billion Dollars, he added.


For Daily Alerts

For Breaking News from Oneindia
Get instant news updates throughout the day.

Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Oneindia sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Oneindia website. However, you can change your cookie settings at any time. Learn more