Sourcing Advisory

Can China’s IT Services Market live up to the hype?

Kevin S. Parikh
March 2012

Since 2006, China’s market for the outsourcing of technology services has experienced rapid growth and has been heralded as a challenger to India’s market dominance. According to China’s Ministry of Commerce, the total contract value of executed outsourcing contracts in 2010 with Chinese-based service providers was approximately .8 Billion, a 43.1 per cent increase from the prior year.

Nonetheless, this rapid growth represents a mere fraction of the global IT services market and hardly 26 per cent of India’s market volume.

So how can China rise to compete globally in IT Services?

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