Business process outsourcing (BPO) market in India reached $1.139bn in 2010, a 28.6% increase from 2009 revenue of $885.6m, and is expected to reach $1.4bn in 2011, according to Gartner.
The BPO market growth was driven primarily by increasing volumes in existing BPO engagements, clients expanding the scope of existing BPO relationships, and a number of new BPO deals in 2010 were from pent-up demand from 2009.
Gartner estimates the Indian domestic BPO market to reach $1.4bn in 2011, up 23.2% from 2010, and to reach $1.69bn by 2012 and $2.47bn by 2014.
The research firm said that the BPO services market in Asia/Pacific and Japan is made up of a good mix of multinationals, regional and local pure-play BPO service providers; IT services providers with BPO assets and capabilities; and telecom vendors.
The BPO services market in Asia/Pacific (excluding Japan) reached $8.6bn in 2010, a 21.5% increase from 2009 revenue of $7bn.
The research firm said that the largest BPO country market in the region is Australia, which is more than three times larger than India, the second-largest consumer of BPO services.
By vertical industry, banking and financial services, communications, government (both local and federal), technology and travel and transportation were the largest consumers of BPO services in the region.
