Sunday, September 18, 2005

BPO, KPO to see upswing in revenues

The global offshore business process outsourcing (BPO) revenue is projected to grow about 35 per cent by 2008, according to a study conducted by Scope e-Knowledge Center.

The study was presented at a seminar held today under the National Association of Software and Service Companies (Nasscom) umbrella.

In the 2003 fiscal, the revenue from global offshore BPO was about $9 billion, of which knowledge process outsourcing (KPO) alone contributed about $1.3 billion.

It is estimated that an approximately $7-billion market potential exists for KPO services such as data search and analysis, while remote education is likely to create a $3-billion market.

A Nasscom-McKinsey report estimates the BPO opportunity for 2008 as $141 billion . Other markets such as biotechnology and pharmaceutical research, and engineering and design services are expected to grow to $5 billion and $3 billion respectively.

The KPO services market is expected to grow from $1.3 billion in 2003 to $25 billion in 2010, representing a compound annual growth rate (CAGR) of 52 per cent.

KPO services are projected to account for more than 40 per cent of the total BPO revenue in India by 2010.

1 comment:

Knowledge Process Outsourcing said...

Wow, BPO industry really is huge with $ 9 billion revenue. Thanks for the update on BPO. Indeed, it will grow more and more in the future.