Nasscom Says Visa Hike is “Terribly Short Sighted”
September 2nd, 2010
Nivsarkar: “Latin America can bring in language capabilities and time zone and proximity benefits and we are firmly convinced the way forward will be to have a globally distributed model – pulling on the strengths of every location worldwide.”
The fallout from the visa hike issue is still being felt across the global outsourcing industry. One of the obvious questions is whether large India firms will aggressively reshape their operating models to accommodate the new visa costs – or – is it just a mild bump in the road to continued expansion in the Americas?
Giving us an exclusive perspective on the issue is Ameet Nivsarkar , NASSCOM Vice-President for Global Trade, who is in charge of international and policy relationships for the India ITO/BPO advocacy group.
What long term impact do you think the visa fee hikes will bring to the way in which India outsourcing firms conduct business in the United States?
The fee per say is not going to be a large cause of concern. Our bigger concern is the direction all of this is taking. This is not the first attempt the US. Congress has taken to discriminate against India firms.
This is the first time we are seeing legislation go into law. Obviously India firms are concerned, and this certainly will add to the bottom line.
By Kirk Laughlin
It’s not hard to remember back to 1995-1997, when the Internet boom began to gather some real traction. Firms like Netscape, Lucent and Cisco were suddenly red hot darlings that became emblematic of a new generation of Wall Street investment targets. There were plenty of skeptics of course who didn’t like the price-per-earnings ratios of these companies or didn’t believe the aggressive forecasts of top executives. And then there were the very real concerns about risks and the seeming intangibility of the Internet, backbone buildouts and why broadband mattered. Back then, Google had yet to be born and the eye-ball grabbing power of search was not really well understood.
So, what does the investment climate of the mid-90s have to do with 2010 investment in Nearshore outsourcing? Plenty and I’ll explain why.
For Nearshoring Customers, Business Continuity Should Be Priority One
August 16th, 2010
Redundancy and availability are essential checklist items in disaster zones
By Dennis Barker
Earthquakes, floods, and hurricanes. Mother Nature has cruelly reminded us again this year that the Nearshore region runs the risk of natural disaster. Obviously anyone doing business in a meteorological danger zone has to think strenuously about their provider’s ability to recover from a disaster and maintain business continuity. Or maybe it’s not obvious.
Andrew Fazio, director of commercial sales at Flow, a telco/cable/Internet provider and data center operator based in Jamaica, told us that clients aren’t always aware of all the issues or ramifications connected to disaster recovery.
In an Exclusive Video Interview, President Laura Chinchilla Looks to Accelerate Investment by Reducing Bureaucratic Barriers and Educating More Engineers
San Jose, Costa Rica (PRWEB) July 22, 2010 — President Laura Chinchilla Miranda identified the three most important steps she will be taking to increase the flow of investment capital into Costa Rica during an exclusive interview with Nearshore Americas, the leading online media site dedicated to Latin America outsourcing and investment.
Chinchilla, who stepped into office in May, said that in order to sustain and expand foreign investment the
federal government must eliminate “complicated rules” that create a bureaucratic hurdle for investors. In
addition, the country must commit to enriching students with more exposure to science and technology. “We
need more engineers,” the president told Kirk Laughlin, the founder and editorial director of Nearshore
Americas. Finally, Chinchilla said logistics that enable the smooth flow of goods and services must also improve.
During …
Exclusive: Genpact Expands in Guatemala City
July 19th, 2010Brazil and Colombia Also On Genpact’s Radar
Confident that the right kind of finance and accounting talent can be found to support its growth, Genpact is pushing forward with plans to expand its operations in Guatemala City. The company currently employs about 1,000 people but that number will likely climb dramatically with the expansion.
Building a Better Plan to Sustain Nearshoring
July 15th, 2010
"Nearshore destinations must ensure they have a steady supply of human resources to meet demand" Capgemini's Steve Rudderham
By Steve Rudderham
Nearshoring is gaining more interest and higher levels of global respectability among companies looking for long-term sustainable benefits, as they strive to remain competitive in an increasingly crowded global business environment.Offshoring is no longer the only option for companies seeking a highly skilled workforce, with a cost advantage.
Indeed, Gartner finds that interest in Latin America as an outsourcing destination has increased dramatically over the past years, making it the second most-popular region after South Asia. One of the biggest questions facing the Nearshoring community is: What can we do – together – to sustain the momentum?
The Latin America Image Issue: Going Beyond the Superficial to Create a ‘Nation Brand’
July 13th, 2010By Tarun George
If you’re a Latin American country marketing yourself to US sourcing customers, your chances have already been either helped or hurt by your national image, even before you begin. It’s called a ‘nation 
brand’, and Nearshore players have always been painfully aware of its impact on securing foreign investment.
We caught up with Simon Anholt, who first coined the term in the late ‘90s. During the last 12 years, Anholt has advised the governments of more than 40 countries on questions of national identity and reputation, and foreign investment promotion.
Layoffs Free Up More IT Labor in Costa Rica
July 9th, 2010BLOG REPORT FROM PROCOMER ITALLIANCE EVENT IN SAN JOSE, COSTA RICA
Layoffs at larger tech companies like HP and slow downs in expansion at many IT services players in and around San Jose has appeared, at least temporarily, to have loosened up what was once considered one of the tightest labor markets anywhere in the Nearshore region.
A number of local executives said during the IT alliance event this week that Costa Rica´s 
labor market has become more advantageous for global sourcing and IT oriented employers, many of whom saw HP snap up close to 1,000 qualified IT professionals since arriving in 2006. Other well known tech players with sites here include Intel, Google and Baxter, among others. The tide has shifted as HP reportedly laid off several hundred during the last 18 months, and a host of other firms trimmed staff in response to the economic crisis. Still, it is clear that Costa Rica, like much of Latin America, weathered the storm without too much economic damage.
By Tarun George
In 2004 when Tata Group boss Ratan Tata and then TCS CEO Subramanian Ramadorai started searching for a springboard into Latin America, they were skeptical of Uruguay. One visit to the country convinced them however, and today the TCS operation there has grown to more than 800 employees, and TCS Latin America is even larger. A late entry into the sourcing game, Uruguay has been making strides in IT services. But its limited labor pool is continually cited as the one obstacle that could derail its success in years to come. Concerns of scalability, decentralized leadership and state control of infrastructure and utilities lead us to believe that Uruguay still needs to define a clear outward focus on international sourcing. The country’s government is trying to do just that, but will it be enough?
What’s Fueling the Sonda Acquisition Spree?
July 6th, 2010
By Dennis Barker
When the biggest IT company in Chile announced it was planning to spend $500 million on acquisitions between this year and 2012, it apparently wasn’t just blowing smoke. Going where the money (and expertise) is, most recently Sonda picked up innovative Brazilian IT services firm Kaizen.
Sonda’s buying streak now includes Brazilian IT services provider Telsinc; Mexican IT company NextiraOne; and Bogota-based software developer Red Colombia. In 2007, Sonda purchased Brazilian provider Procwork.
