Business Insight :: December 2008
18th June 2008

Hyderabad emerges as major hub for animation industry

Source: www.ndtvprofit.com

If you always enjoyed watching animated movies and also dreamt of creating it, then you should probably be heading to Hyderabad.

The city of Nizams is now the city of animation and especially now, as this industry faces a huge shortage of people.

“We are facing shortage in terms of quality manpower, which in turn could be an opportunity for the industry and for people who look at a career in animation,” said Tapaas Chakravarti, CEO, DQ Entertainment.

In the last one year more than 25 production houses have set up shop in the city, as the boom is being compared to the IT boom that happened a few years ago.

The Indian animation market is pegged at $285 million at the moment. The animation firms engaged in production see a growth of close to 30 per cent and touch about $1 billion by 2010.

“The industry is now getting into intellectual property development. Hyderabad studios are making their own movies and they are moving from outsourcing to home productions,” said Rudra Matsa, CEO, Panel Animation Studios.

By the end of 2008, the animation industry will require 30,000 professionals almost three times of what it has now. Hyderabad itself will see close to 30,000 people being recruited by animation companies.

Out of 200,000 people trained at various colleges only 1-2 per cent have the required skills to deliver a world class product. No wonder, the production houses are setting up their own visual arts schools to meet requirements to take on biggies like Pixar and Dreamworks.

It takes an average of 18 months to make a 90 minute animated film and some companies make 6 or 7 films at a time meaning there is a huge requirement of skilled professionals.

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18th June 2008

IT managers pay the price for onshore outsourcing

Source: www.computing.co.uk

Mark Samuels - The UK is among the most expensive location for onshore contact centre outsourcing, says research.

Analyst Datamonitor reports the UK, the Netherlands and France are three of the most costly destinations, in terms of price per agent per hour.

Canada remains the most expensive offshore location, while Colombia, Philippines and India are viewed as low cost.

Peter Ryan, head of contact centre outsourcing analysis at Datamonitor, said several key trends are prevalent in established onshore markets and are creating higher costs for IT managers.

“It is clear that no matter whether in western Europe or the US, contact centre vendors are facing problems in terms of recruiting well-qualified contact centre agents,” he said.

“Many vendors cite an inability to find contact centre agents of a high calibre and are frustrated at their unwillingness to stay in their role over an extended period of time.

“The result is an erosion of margin or higher costs being passed back to the client. Either way, the vendor’s competitive positioning is compromised.”

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