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TCS plans to expand China centre

November 28, 2003 19:44 IST

India's largest software exporter Tata Consultancy Services will expand its one-year old China software development centre in a big way over the next couple of years.

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"We have at present about 130 people in China. We will grow there significantly. It will grow bigger than any of our overseas centres. If I have to just make a call, I will say by 2005, I will not be surprised if there are 1000 people working in China," Phiroz Vandrevala, executive vice president, TCS told reporters on the sidelines of Indo-EU summit.

In Latin America, he said, the Uruguay development centre continues to grow. That will be a major area of focus.

Uruguay has 100 people now. In Chile, Brazil and Mexico in Latin America, there is reasonable degree of opportunity.

He ruled out any new facility within Europe. TCS has two development centres in Europe -- Hungary and UK -- with close to 100 people at the Budapest centre.

As the need and necessity to have near-shore facility grows in Europe, we will leverage that centre. The Budapest centre has grown and will continue to grow, he said.

He said the recent cancellation of the $15 million dollar contract by one of the US states is a matter of worry from the long-term point of view of the industry.

"It (the government IT contract) is going to be a big market for Indian companies. If this sort of thing happens, it will restrict our choice to compete in that market. The initial impact is not there. But in the long term, it is something we need to worry about," he said.

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