India most preferred back-end IT destination

Mumbai: India has emerged as the most preferred destination for global enterprises to set up their back-end information technology units or captive units in 2010, consultancy firm Everest Group said in a report.

"India witnessed the maximum activity, followed by other regions in Asia and the Philippines," a release issued by the consultancy said.

Unlike the practice of outsourced work wherein an Indian company erects a facility and employs professionals, captive unit involves a multinational corporation setting up its own unit in a country, attracted usually by the talent pool of that country.

Among those who set up facilities in 2010 include Microsoft, PwC and Credit Suisse.

Among those who set up facilities in India in 2010 include Microsoft which set up a development centre in Bangalore, audit firm PricewaterhouseCoopers' centre in Kolkata and Credit Suisse's facility in Mumbai, a spokesperson for Everest said.

Globally, 2010 observed a positive surge with the number of captive set-ups exceeding the divestures, the report added.

The year also saw India continuing to lead in the offshore market activity, Everest said, adding the country reported the setting-up of 39 delivery centres followed by Philippines' 25 and China's 16, the release said.

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