The Information &Technology market in Latin America that includes hardware, software and services, is expected to grow 7% per year until 2014. From an economic perspective, with most countries in the region growing less than 3%, IT investments are becoming a key factor to drive up GDP.
By Narayan Ammachchi
Cessi – the privately supported IT association promoting Argentina firms – has launched four offices across America in a bid to bring greater attention to the Argentina software and IT services sector.
The new offices are in Austin, United States, São Paulo, Brazil, Bogotá, Colombia and Mexico City, Mexico. The IT lobby group is selecting employees for its new offices and drawing up operating plans.
Cessi will use these offices to offer member companies operational support and technical advice, which they may need for promoting their products and services abroad.
The lobby group is also expected to publish reports about the supply and demand for Argentinean IT services in the global marketplace. Over the coming years, Cessi will also set up similar offices elsewhere in the region, particularly in the United States.
Organizing IT fairs in foreign countries and launching trade missions are some of …
By Narayan Ammachchi
Market research firm Frost and Sullivan says the Colombia’s IT infrastructure outsourcing services market is on pace to reach $309 million by 2017.
“The Colombian market, especially big centers like Bogota or Medellin, are more likely to invest in outsourcing,” noted Frost & Sullivan ICT Research Analyst Bruno Tasco. “Large enterprises are beginning to understand the benefits of these business models and to trust service provider capabilities in guaranteeing availability.”
The rising demand for outsourcing is prompting data centers to add dedicated storage and disaster recovery services to their offerings.
The research firm predicts that Mexico’s IT infrastructure services market might grow to $899 million by 2017. A stable economy and the willingness to outsource non-core IT activities is boosting market prospects.
“The need for companies to find trustworthy datacenters to store their information and applications will drive the market positively in the next years,” remarked Tasco. “The Mexican …
By Narayan Ammachchi
India’s biggest IT company Tata Consultancy Services (TCS) has agreed to acquire French IT group Alti SA for US$97 million. Analysts say this is the biggest deal TCS has ever struck in Europe, whose IT services market is valued at $40 billion.
For TCS, the acquisition provides a strong foothold in Europe’s outsourcing industry and provides access to big name companies in sectors including financial services, retail and utilities.
Paris-based Alti SA – owned by CM-CIC LBO Partners and IDI – reported $164 million in annual revenue last year. The French company, TCS says, is regarded as one of the top five system integrators of enterprise solutions in France and has more than 1,200 employees in Europe.
“This acquisition underlines our long-term, strategic commitment to France, which is the third largest IT services market in Europe. I am confident that this acquisition …
BY Narayan Ammachchi
The Jacksonville, Fla-based company has not disclosed financial details of the deal, but stated that the new deal is the first of its kind it signed in the Caribbean.
Under the deal, FIS will assume full responsibility of the bank’s IT operations and replace the legacy technologies with more advanced ones.
“Our extended relationship with FIS enables us to take advantage of their expertise in managing complex IT infrastructures while ensuring that the technology continues to deliver the results we need for the customers we serve,” said Aurelio Alemán, president and CEO of FirstBank Puerto Rico.
FIS says it is hoping to garner more such deals in the days ahead, and cites a recent report from research firm Celent, …
It’s not often that Uruguay is mentioned in the same breath as major Latin American software innovation hubs – such as Santiago, Guadalaraja or Sao Paulo. The country doesn’t have the same brand recognition of those locations, but Uruguay is appearing to perfect the ‘slow and steady’ approach to becoming a top tier player in software development methodologies, e-commerce and Web app development.
By Ann All
Application development is one of the most outsourced activities, according to recent surveys from Harvey Nash, Bluewolf and Computer Economics.
BY STAFF REPORT
The fourth quarter of 2012 saw a slowdown in the value and number of outsourcing contracts awarded globally, according to the quarterly Global TPI Index of sourcing advisory firm Information Services Group (ISG).
The Index, which measures commercial outsourcing contracts with an annual contract value (ACV) of $5 million or more, totaled $4.8 billion in the fourth quarter, a drop of 27 percent from the fourth quarter of 2011 and 11 percent from the third quarter of 2012.
The analyst firm has blamed US presidential election and Superstorm Sandy for the decrease in the number of outsourcing contracts.
Interestingly, Latin American markets heated up in 2012 as the number of outsourcing contracts in Brazil and other countries in the region nearly doubled from 2011, the research firm noted.
For the full year, the global market’s ACV totaled $21.2 billion, a decline of …
By Luke Bujarski
America’s cash-rich middle market is poised to make significant investments in information technology, according to KPMG’s 2012 Mid Market Outlook Survey. For next-generation nearshore outsourcers serious about the U.S. market, biz dev and process innovation dollars spent here could prove more fruitful than chasing after the ‘whale’ contracts. With fewer big dollar outsourcing deals coming online, middle corporate America could offer fresher opportunities for nimble, agile-driven nearshore outsourcers that can successfully bring scalable applications and services to market.
Atul Vashistha of Neo Group sees more multinationals arriving into Brazil, thus triggering greater competition for talent.