Infosys to expand strength in China for Software Outsourcing

India's second-largest outsourcing company, Infosys Technologies Ltd., declared in early August 2005, that Infosys to expand strength in China for Software Outsourcing. It stated that company is planning to increase their strength to 6,000 over the next five years time period from their current strength of 250. Company is very well known in the IT industry for IT Outsourcing and services from the house of India. Company also declared that the expansion would be in line with company’s strategy to tap local skills as well as to expand company’s worldwide delivery model to other destinations for Software Outsourcing and services. Currently company has almost 40,000 employees altogether, most of whom are working in India.

Company stated that it is setting up a development center at the Hanghzhou Hi-Tech Development Industry Zone in Hanghzhou for IT services and problem solutions. Company is planning to increase its investment in two hubs to a total amount of $65 million over the period five years. After this much investment and development, company would be able to house a total of 6,000 skilled developers at its 3 centers in China Territory. The centers would concentrate on work in the areas of software services, IT services and BPO. It would also have training and research facilities along with Research and Development center.

Facility for Software Outsourcing services

Infosys is establishing a new development center in Shanghai with seating capacity for 1,000 developers during the next two years. That facility for Software Outsourcing services would be in addition to its staff of 250 employees. The initial investment in the new city center facility would be around $10 million for next two year and investment in Hanghzhou in the initial stages would be around $15 million. There are lots of Indian companies who have their set ups in China to tap the local market of the country for IT Outsourcing and services.

Infosys also declared that they are happy with the support they are getting form India and company also added around 14,000 of employees in Indian Territory in the year of 2005 for Software Outsourcing services. This number indicates the addition of the staff around 40%. Company was also awarded 293 IT Outsourcing contracts last year. Though, company has these many contracts in the last year for Software Outsourcing, company’s global commercial outsourcing contract declined a bit.

Company is firm about their success in China over the period of four to five years. Company is also expecting to get a good growth for Software Outsourcing in China as the country has lots of potentials and highly and motivated engineers with it. Company’s this step would bring lots of opportunities in China for IT Outsourcing and technology innovations. Infosys is highly eyeing to get success in China for Software Outsourcing and services.