Alsbridge Research Identifies Next Top 10 Chinese Cities for the Future of IT Outsourcing

Alsbridge Research Identifies Next Top 10 Chinese Cities for the Future of IT Outsourcing

June 11, 2007

National and local governments play significant role in
attracting foreign investment

    DALLAS, June 11 /Xinhua-PRNewswire/ -- New research
from Alsbridge, the award winning outsourcing, offshoring
and shared services advisory firm, says that China's next
Top 10 cities show tremendous promise in the information
technology outsourcing market.  To view details of the city
selection process, please visit: 
http://www.outsourcingleadership.com/chinesecities.jpg .

    The company has selected ten Chinese cities based on
accessibility, population, education, resources and
economic stability. These attributes complement the notion
that China offers a wealth of outsourcing promise and that
the larger cities such as Beijing, Dalian, Hong Kong and
Shanghai are not the country's only outsourcing hubs.

    Outsourcing hotspots in China include: Chengdu,
Shenyang, Guangzhou, Hangzhou, Jinan, Nanjing, Shenzhen,
Tianjin, Wuhan and Xian. With more than 1.3 billion people
in China, these cities offer a substantial population of
skilled IT professionals. Each city has several major
universities and multinational companies such as HP,
Microsoft, IBM and Siemens have already established
outsourcing centers in these cities. 

    This research found that although China is not yet
fully competitive in the ITO and BPO sectors, it has great
potential to achieve a significant position in the global
outsourcing marketplace.  One of the main reasons China
competes well in the ITO market is that the economic
vitality of the cities are most backed by local and
national officials who encourage foreign investment.  

    In pursuit of their goal to quadruple the country's
outsourcing export by 2010, the Chinese government has
supported the establishment of Hi Tech Development Zones
and Software Parks in the several cities across the nation
that are being developed as major outsourcing centers. 
Local government in these locations help the cities develop
their capabilities and capacity in the ITO industry by
providing incentives for foreign companies and investing in
the infrastructure development.  In all of these cities, the
local governments support the efforts of the IT industry by
providing incentives for companies that develop new
business there. The governments, in turn bring attention to
the investing desirability of these cities by building large
industrial parks for software development and other IT
operations, as well as strengthening the infrastructure
currently in place to attract new investors.

    "China's potential is real and gaining momentum.
The country is very technology oriented, and this benefits
it greatly in the ITO space," said Ben Trowbridge,
Alsbridge CEO. "However, more time is needed to assess
China's capabilities as a BPO player."

    Free China Outsourcing Seminar

    Alsbridge is planning a free seminar on outsourcing in
China.  This seminar will include commentary by experienced
off shoring experts and will focus on lessons learned as
well as recent research on the most desirable locations. To
register for the seminar, visit
http://www.outsourcingleadership.com .  The company is also
planning a corporate site visit for executives looking to
move forward with their outsourcing plans.  The tour is
scheduled for the first week in December. More information
is available at this web address: 
http://www.outsourcingleadershipforum.com/worldtour2007china.html
.

    About Alsbridge:

    Alsbridge is the award winning global advisory firm,
providing unbiased advice and assistance on outsourcing,
shared services and offshoring.  Alsbridge consultants
bring extensive vertical industry expertise and a practical
knowledge of all areas within information technology and
business process outsourcing.  The firm's proven
methodology incorporates proprietary collaborative
sessions, bringing together executive teams from both the
client and the provider in an environment that fosters
collaboration.  Alsbridge supports its recommendations and
assistance through significant investments in proprietary
benchmarking and ongoing research within the industry.  For
more information, visit http://www.alsbridge.com .

    Alsbridge and SAS are trademarks of Alsbridge, Inc. and
Alsbridge Ltd.


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