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The total number of businesses in Dalian's software outsourcing park surpassed 400 in 2009 when the park gained 63 new clients, and total sales are expected to be RMB 20 billion (R21.5 billion), 32.9% more than in the previous year.
China's software industry, which is mostly about software outsourcing, probably earned about RMB 900 billion (R962 billion) in 2009,[link widoczny dla zalogowanych], compared with RMB 757.3 billion (R809.8 billion) in 2008. The figure is expected to top RMB 1 trillion (R1.07 trillion) in 2010, said Hu Kunshan, vice-chairman of the China Software Industry Association.
Air India seeks outsourcing savings
Air India,[link widoczny dla zalogowanych], India's national airline, has announced plans to outsource some of its IT functions in the near future, reports Sourcing Focus.
The airline confirmed the move was a bid to cut costs at the carrier. The move is reportedly part of a wider plan to hive off Air India's various business units.
From the beginning of the airline's new financial year it will create profit centres around its cargo handling, maintenance, repair and overhaul divisions. Air India currently has around 30 500 employees and salary payment is its second largest cost after its fuel bills.
$1bn IT outsourcing deal on hold
The decision of state-owned BSNL's board to put its tender for 93 million GSM lines 'on hold' will result in the telco's $1 billion IT outsourcing contract also being put 'on hold'. This is because, the IT contract is linked to the GSM lines taking off,[link widoczny dla zalogowanych], says Economic Times.
The delay will impact IT firm HCL Infosystems, which will be supported by HP and Convergys for the contract and is assured of 50% of BSNL's Rs 2 000-crore (R3 billion) IT deal, as it was the lowest bidder for all four zones. The project was split into four zones to allow companies to bid separately for each zone.
Other IT majors that will be impacted include TCS,[link widoczny dla zalogowanych], which can bag the remaining 50% of the contract,[link widoczny dla zalogowanych], and the Mahindra Satyam/Spanco combine, which stands a chance to win part of the deal.