KPO not hit by global downturn; India to retain large cake
Knowledge Processing Outsourcing, over which India's holds the sway with a potential 12 billion dollar market by 2010, is expected to grow despite global recession and the country could maintain its leadership in the KPO sector with stable government policies.business Updated: Feb 17, 2009 13:03 IST
Knowledge Processing Outsourcing (KPO), over which India's holds the sway with a potential 12 billion dollar market by 2010, is expected to grow despite global recession and the country could maintain its leadership in the KPO sector with stable government policies.
"India has competitive people costs which is sustainable at least for the next seven to ten years. There is an established ITES (Information Technology Enabled Services) sector with good management, plus a reasonable sized talent-pool of human expertise in many areas. All this coupled with fairly stable government policies could help India in its quest to maintain leadership in the KPO sector by a wide margin," Chandu Nair, President and Director of Scope e-Knowledge Center, a leading KPO company, told PTI.
According to an earlier estimate of National Association of Software and Service companies (NASSCOM), the apex business association, the KPO sector is expected to be worth $17 bn by 2010 of which $12 bn would be outsourced to India.
'Despite the recession in the US and UK/Europe, NASSCOM still feels that IT/BPO sector would grow in the FY 2008-09. There has been an impact on certain companies, especially those with clients predominantly in certain sectors - financial serives-or highh exposure to clients which have gone bankrupt,' he said.