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While projecting an overall growth of 30 percent for the Indian software and services sector during 2002-03, Nasscom has indicated that this will include a blended growth of 22 percent in the IT services space and 60-65 percent in the IT-enabled outsourcing segment. The ITES market, which grew at a hefty 71 percent during 2001-02, accounted for around 20 percent of the total software and services export revenues in that period. Over the next 12 months, this revenue contribution is expected to rise to 24 percent, according to the Nasscom study. |
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Source: Nasscom |
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The ITES segment is also attracting the attention of Venture Capitalists, and around 40 percent of VC investments are expected to go into this market by the end of 2002. |
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The current trends also indicate that within the ITES segment, insurance, banking and automotive are the key verticals opting for these services. In terms of service lines, according to Nasscom, telesales, benefits administration, credit/debit card services are the major services lines. |
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The indications are also there that the ITES market is growing beyond the traditional metropolitan geographies of Gurgaon, Mumbai and expanding to cities such as Chennai, Bangalore and Kolkata. |
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In terms of the popular ITES/BPO models being followed in India, captive centers are the most prevalent, accounting for about a third of all employees in this market. |
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