It is a part of software development services offered by an outside provider located in a country that is far away from the client business geographically. The major driving factor for the companies to opt for outsourcing software development is the elevated development expenses of the domestic service providers. The worldwide offshore software services market in comparison to ITO and BPO is relatively in its early stage, but India is the most preferred destination of the world in this field.
As per the statistics of March 2009, India has generated US$60 billion as annual revenues from its total outsourcing operations. This figure is going to be overhauled by a long margin to reach US$225 billion in the year 2020. Many cities from all over India have upgraded their infrastructure and manpower to attract major global players in setting up their offices here. The most outstanding offshore software development India destination is of course Bangalore. But, other emerging cities like Chennai, Hyderabad, Kolkata, NCR, Mumbai and Pune are not far behind.
Widely dubbed as the IT Capital or the Silicon Valley of India, Bangalore is presently leading the list on most software developers in India. It has rapidly made its presence felt in the field of offshore software development and electronics. Large numbers of local as well as international IT-based companies are running their operations from its base. These include Infosys, TCS, IBM, Accenture, Compaq, Texas Instruments, Robert Bosch, etc. The reasons behind choosing Bangalore to outsource software development are world-class infrastructure, abundant skilled manpower, well-suited climate, friendly government policies and sophisticated environment.
Chennai is also known as the second silicon valley of India and boasts TIDEL Park which is one of the biggest software parks in India. Low labor cost is the chief factor that has attracted a lot of big and small IT players to set up their operations in Chennai. The city is now deriving more and more revenues from offshore software development projects.
The NCR or National Capital Region of India consists of Delhi, Noida, Grea