India preferred destination for R & D Offshore

India, a favorite destination for outsourcing software development, is now pushing its way to becoming the most favored destination for outsourcing of R & D as well. According to Zinnov, a consulting firm relocation, the relocation of R & D to India is a U.S. $ 9,350,000,000 in the industry and is expected to witness growth 23 per cent in 2012 to become U.S. 21.4 billion U.S. dollars in the industry. The three areas of focus in this industry are Software Development Products, Engineering Services and Embedded Systems.

Though the call centers and other services low-end that sparked the rise of outsourcing in India has made great strides since then and has quickly moved up the value chain. Today several global technology companies to offset the shortage of highly qualified resources back home Indiae € ™ s taking advantage of high intellectual caliber to increase outstanding R & D The result is the view of everyone, with many of todayâ € ™ s high-tech products, whether advanced chips, software packages or enterprise and consumer products, with a major contribution of India in them.

Overall, Indiae € ™ s high-end technology skills is being increasingly recognized in the industry and the business community. A point in case of increasing pre-requisite of venture capitalists who require entry up technology companies to have a plan for India in its development efforts in order to receive funding. At the other end of the spectrum, several Fortune And 500 outsourcing their software development needs to India, and those who havenâ € ™ t, are increasingly the same.

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Indiae € ™ s natural evolution of R & D offshoring

Having gained worldwide trust software services for a few years now, Indiae € ™ s natural progression toward the development of cutting-edge products for high-end has been also gain global acceptance and familiarity in their R & D offshoring services. Although external R & D was initiated by the vertical information technology, R & D outsourcing in vertical markets such as Telecom, Automobiles, manufacturing, printing and publishing, consumer electronics, and media communication and entertainment, among other industries is now prevalent. Â Â

Leadership in R & D outsourcing is not new in India. The R & D in high Tues history dates back to 1985 when Texas Instruments set its India R & D center in Bangalore development. Following his example, several global technology giants, including Oracle, Intel, Cisco, GE, Microsoft, ABB and LG among others have outsourced their R & D to India requirements. Over time, not only large but also several medium, small and new businesses even have outsourced their R & D to India, a practice that has become the rule rather than an experiment. External R & D Models range from captive to third parties on contract.

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Ground Realities of R & D outsourcing to India

Some of the key factors driving Indiae € ™ s march towards becoming the worldâ € ™ s preferred destination for R & D offshoring / outsourcing include:

• vast pool of technically qualified, skilled and English-speaking population
• Significant cost savings resulting the evolution and tested models
• Time zone benefits facilitate operations 24 / 7 (The schedules to follow the sun)
• Geographical expansion very close to major emerging markets, besides being a huge emerging market itself
• Proven experience in project management, resulting in better quality and timely delivery
• Strong management of intellectual property
• business climate for investors friendly laws
• Stable government and economy booming

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A few barriers that pose a serious obstacle in the way in Indiae € ™ s ambitions become the most favored foreign R & D target include:

• Inadequate infrastructure
• Increased costs
• Increased wear
• The lack of recruitment bandwidth to recruit and retain hard to find in the research engineers

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India also faces stiff competition from other international destinations such as China, Russia and Israel. But then, it must be spoken of these countries have their own problems.

While it may seem that India is losing ground as a leader in research and development offshore location shelter, thatâ € ™ s far from the case. In fact, on the contrary, outsourcing to India is gaining momentum and is becoming an imperative strategic global technology companies. India still offers significant cost savings, together with high quality for a significant value to pay. The R & D Indian market has reached a relatively mature stage to offer a better quality, timely delivery, good governance and clear work plans. markets This emerging, along with other factors such as powerful Indiae € ™ s own market for local products, proximity to others, a large labor force thatâ € ™ s expertise, innovative and at the same cost-effective, and his breath range of service lines, among other factors, India is looking well and truly on your way to becoming the destination for the outsourcing of R & D.

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About Celstream Technologies Ltd.

Celstream Technologies is a successful, global Product Engineering Services company with a rich heritage in offering networking products R & D. Celstream deals full product lifecycle development services of technology companies in the media and entertainment, consumer electronics, printing and publication, and industries of the Company. Headquartered in Bangalore, India, and with customers in the U.S., Europe, India and Australia, combines the best talent Celstream software world-class processes and cutting-edge engineering technology to deliver excellence to clients. More information about the company can be found in www.celstream.com .

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Anand Kuppuswamy (Corporate Manager â € "Marketing and Strategy, Celstream Technologies Private Limited)

Anand is responsible for defining and implementing strategic plans that drive growth and expansion, and deeper relationship with customers.

Celstream Anand joined in 2005 as Business Manager and was instrumental in winning new customers and has made significant contributions in the management of early commitments. Before Celstream joining, Anand was a business manager and former Hewlett-Packard, Verifone Technology Consultant. Anand has extensive experience in product development and management program's global team participation, collaboration. Anand has also worked with several Fortune 500 and SMB clients by helping them with their goals product development, including the offshoring strategy and accelerated the time to value.

Anand holds a Bachelor of Science in Computing BITS Pilani and a Post Graduate Diploma in Management from IIM-Bangalore.Â

About the Author

Anand Kuppuswamy – Corporate Manager – Marketing & Strategy

As Corporate Manager – Marketing & Strategy, Anand is responsible for defining and implementing plans that drive strategic growth and expansion, and deeper relationship with customers.
Anand joined Celstream in 2005 as Business Manager, and was instrumental in winning new customers and made significant contributions in managing early engagements. Prior to joining Celstream, Anand was a Business Manager at Hewlett-Packard and earlier, a Technology Consultant at Verifone. Anand has deep experience in product development and program management involving global, collaborative teams. Anand has also worked with several Fortune 500 and SMB customers assisting them with their product development objectives including offshoring strategy and accelerated time-to-value.
Anand holds a Bachelors degree in Computer Science from BITS Pilani and a Post-graduate Diploma in Management from IIM-Bangalore.

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