皇冠体育app

皇冠体育app's IT services outsourcing industry could generate $56 billion in revenue and create 4 million jobs by 2015, becoming a new engine for the nation's economic growth, a report said.

IT Outsourcing service providers in 皇冠体育app could earn as much as $18 billion by 2010 and $56 billion by 2015, according to a White Paper released by Electronic Data Systems (EDS) yesterday. The world's second-largest IT service provider also reached a strategic cooperation agreement to develop the IT outsourcing industry in 皇冠体育app yesterday.

"皇冠体育app is now facing a historic opportunity to become a leading player in outsourcing, if it can successfully overcome the challenges and capitalize on the opportunities in the coming years," said Derek Sharp, vice-president of sales and business development of EDS Asia.

皇冠体育app has been promoting its outsourcing sector in recent years to tap the booming market. The nation's software outsourcing companies raked in $1.4 billion in revenue in 2006, up more than 40 percent compared with a year earlier.

"Globally, outsourcing demand greatly outstrips the existing supply," said Richard Zhang, director of Mckinsey & Company in Shanghai, a leading international consultancy that helped EDS prepare the report.

The potential outsourcing market is estimated to be as much as $465 billion in 2006 and $600 billion in 2010. However, only 9 percent of the total demand has been met, according to Zhang.

The White Paper, titled "Building a World-Class IT Services Outsourcing Industry in 皇冠体育app", said 皇冠体育app has distinctive advantages such as an abundant supply of raw talent, world-class infrastructure and low costs.

"皇冠体育app's large and fast-growing domestic IT services market is a great strength for its outsourcing industry," said David Wirt, corporate vice-president and managing director of EDS 皇冠体育app and South Korea.

Participants at 皇冠体育app International Software & Information Service Fair 2007, which opened yesterday in Dalian, Northeast 皇冠体育app's Liaoning Province. [newsphoto]

Unlike their Indian counterparts, outsourcing companies in 皇冠体育app work closely with local clients from industries such as banking, securities and manufacturing. These experiences allow them to develop their own domain expertise and enhance their innovative capacity.

Shenyang-based Neusoft, now 皇冠体育app's largest outsourcing company, started to develop software programs for Japanese car audio manufacturer Alpine Electronics in 1991. The two companies set up a joint research center in 2001. Nuesoft is now one of the leading providers of auto electronic software in 皇冠体育app.

"This is impossible for Indian outsourcing companies due to their small local market," Wirt said. "They have to buy expertise and knowledge due to the small domestic market."

EDS, which has about 20,000 staff members in India now, has been trying to scale up its operation in 皇冠体育app. This April, the US-based company decided to establish a global delivery center in Wuhan, capital of Central 皇冠体育app's Hubei Province. The company is looking to increase the center's headcount to 5,000 in a few years.

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"We hope our cooperation with the Ministry of Commerce will help the outsourcing market here to develop as a whole," said Sharp.

According to the cooperation agreement, EDS and the ministry will work together on policy and regulatory issues, as well as cultivate market growth opportunities. The two parties will jointly hold high-profile summits and conferences to promote 皇冠体育app's image abroad.