Nasscom Archives — LIRNEasia


Just a sample: The National Association of Software and Services Companies (NASSCOM), which represents the $100-billion IT and BPO industry, has strong views against the Internet governance model of the Internet Corporation for Assigned Numbers and Names (ICANN), but favours self-regulation. Its president Som Mittal says: “NASSCOM does not favour oversight by an existing U.N. organisation like ITU. Internet and infrastructure have to be in the hands of expert organisations with proven experience.

Latest on Indian ITES performance

Posted on February 9, 2010  /  2 Comments

An excerpt from a trade newsletter published by the Govt of India: According to the National Association of Software and Service Companies (NASSCOM), the apex body for software services in India, the revenue of the information technology sector has risen from 1.2 per cent of the gross domestic product (GDP) in FY 1997-98 to an estimated 5.8 per cent in FY 2008-09. Further, the industry body expects the sector to grow between 4 per cent and 7 per cent during 2009-10 and return to over 10 per cent growth next year. India’s IT growth in the world is primarily dominated by IT software and services such as Custom Application Development and Maintenance (CADM), System Integration, IT Consulting, Application Management, Software testing, and Web services.
One of the bad things about projections, especially long-term projections, is the lack of accountability. Or that like astrological forecasts, we only talk about the ones that were right. But anyway there is an interesting discussion of the Indian outsourcing industry, including a discussion on projections. A decade ago, McKinsey and India’s powerful information technology and outsourcing trade group, Nasscom, predicted that revenue from outsourcing by foreign companies would reach $50 billion in India in 2010. The global economic slowdown has delayed that by three or four quarters — revenue is predicted to reach $47 billion this year.
There is no reason why Pakistan, Bangladesh, Sri Lanka, and even the microstates of Bhutan and Maldives cannot get BPO business, not in competition with the Indian juggernaut, but in a complementary way. Sri Lanka had no BPO business to speak of prior to 2002, despite similarities with South India where it was booming. It was only after the international liberalization of 2002-03 that BPOs started in a significant way in Sri Lanka, though that promising start has been affected by the unsettled security situation. For the policy makers and implementors in these countries to contemplate: 1 percent of USD 60 billion is USD 600 million. That is not chump change.
The Hindu Businessline, Thomas K Thomas, New Delhi , July 13Increasing usage of broadband and Internet-based services has prompted Indian international bandwidth providers to raise their capacity by 95 per cent over a one-year period. According to the Telecom Regulatory Authority of India, bandwidth owned by various gateway service providers such as VSNL, Reliance Communication and Bharti has gone up to 12.7 Giga bytes in March 2006 compared to 6.5 Giga bytes at the end of the previous financial year. Explaining the growth, Mr Kiran Karnik, President, Nasscom, said: “Bandwidth requirement is largely being driven by the IT industry, particularly the BPO sector, and also rapid Internet adoption at homes.