Top Outsourcing Trends for Q1 2011 - Slide 2

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The Market Activity Heatmap witnessed a major change in categorization of countries in terms of their maturity for supporting global services. Brazil was elevated to the category of “mature location” during Q1 2011, an elite group previously consisting of India, the Philippines, and China. Market activity was high in India and Brazil with both captives and third-party service providers setting up multiple delivery centers in these locations.

Based on recent research from the Everest Group, the offshore services market witnessed 35 new delivery centers set up across captives and service providers during Q1 2011. Although this is lower than the 46 centers set up in Q4 2010, most of the decline can be attributed to the impact of seasonality with the first quarter typically reporting a lower market. The Everest Group expects location activity to increase during the latter part of this year.

Activity did increase in Latin America with the number of new centers reaching a 12-month high, and Brazil being reclassified as a “mature location” on the Everest Market Vista Location Maturity Heatmap.

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