I noticed a very short blurb in EE Times.  According to the story, the rate of growth for the leading Indian IT providers and outsourcing firms has been reduced as a result of the slowing global economy.  Apparently the business is still growing, albeit somewhat more slowly.

“After three years of strong growth, India’s top 20 information technology providers are reporting sharp drops in annual growth rates as the global economy slows.

Growth rates for the previous 12 months were 24 percent, down from 41 percent during the same period a year ago.

Leading IT services exporters also reported slowing annual growth that slipped 16 percent to 29 percent year-on-year. The companies were hurt primarily by currency fluctuations, according to a survey by the market researcher CyberMedia.”

Anecdotally, it doesn’t seem that the strong Chinese providers are seeing as much of a slowdown.  Instead, I hear that business is still going strong for the well managed companies.  The firms that have done as good a job of staff development, service offering focus, process improvement, marketing and client satisfaction are still experiencing rapid growth.  On the other hand, groups that placed more emphasis on maximizing short-term revenue might be struggling a bit.

Technorati Tags:  China, China Outsourcing