Xi’an Software Park delegation will visit Silicon Valley at Oct 11th

Xi’an Business Network A Delegation led by Mr Liming Zhu, the Deputy Director of Xi’an Software Park will visit Silicon Valley at Oct 11th. Xi’an Software Park is a national software industrial & export base and is one of the first Service Outsourcing Base Cities established by the Central Government.

Founded in December 1998, Xi’an Software Park is located within the Xi’an High-tech Industries Development Zone, a special economic-expansion area entitled to government tax benefits and other incentives. To date, Xi’an Software Park has attracted more than 630 software and outsourcing enterprises both from within China and abroad, with more than 50,000 employees.

LOCATION & TRANSPORTATION: Xi’an is the largest major city in China’s portion of the new Eurasian continental bridge. The city is located in the center of China and is about a 2-hour flight from both the capital, Beijing, and the major coastal city of Shanghai.Park which is one of the 5 certificated Hi-Tech Parks in China by Central Government to recruit and attract overseas to either Start up business or work inside the park. Mrs. Dang has more than 15 years experience in the hi-tech park, and witnesses the hi-tech park from nothing to the well developed area which ranks top 5 nationwide in comprehensive category issued by many authorities.

During the event, valuable information as below, but not limited to, will be brought on for your consideration:
1). General policy issued by central government for attracting overseas to start up business or work in domestic enterprises.

2). General background about Xi’an city, including infrastructure, business and living environment, resources and competitiveness advantages as well as overall industries

3). Attend panel discussion to learn successful stories presented by oversea returnee and share experience

4). Job-openings and other opportunities

Official registration site:

http://spreadsheets.google.com/viewform?formkey=dFlxcVc1RWNmYi1XVUxpZ0dSRFFYa1E6MA&pli=1


Due to limited seats, please make your reservation as early as possible. If you have any questions, please do not hesitate to email atdc@knowledgesurf.com orGaiusW@knowledgesurf.com.

Outsourcing: The Demise of the Offshore Captive Center

CIO.com. By Stephanie Overby. The offshore captive center was once the Holy Grail of offshore outsourcing. As companies got a taste of the cost savings possible by outsourcing IT and business process work to lower cost countries, they began to salivate over the thought of bypassing the offshore vendors (and their pesky profit margins) altogether and saving even more money by setting up their own service shops in India.

But today, those offshore captive centers have become drain on many of the companies that created them—so much so that some organizations are desperate to divest themselves of their offshore units.

In October 2008, financial services leviathan Citi announced a deal to unload its offshore business process outsourcing center to Tata Consultancy Services (TCS). Citi made a similar move last month when it sold its captive Indian IT services unit to Wipro. Also in May, outsourcer Capita Group snapped up a 600-person captive center owned by insurer AXA. And earlier this year, the Economic Times of India reported that IBM and Infosys were bidding on Fidelity’s offshore back office operations.

Click here to find out more!

These companies weren’t the first big name corporations to back away from their commitment to captive service operations in India. Over the past two years, AOL, Aviva, Prudential UK and Philips—among others—have put their offshore IT and business process services subsidiaries on the block.

And, analysts say, they won’t be the last to get out of the Indian services business.

The Changing Economics of Offshore Outsourcing

The global economic recession is a major motivator of these divestitures. According to Gartner, captive centers represent a large, fixed cost for companies—and one that has been growing due to inflationary pressures and exchange rate fluctuations. The near-term benefit of getting those subsidiaries off the books is of great value to struggling companies, particularly those in the most hard-hit sectors of the economy, such as financial services.

“There are a number of drivers for [these transactions],” explains David Rutchik, a partner with outsourcing consultancy Pace Harmon. “And one is to generate some cash.”

Such transactions, generally, reflect the reactionary nature of most decisions to insource—or outsource—operations offshore. “Long-term cost savings have rarely been the driver for significant outsourcing decisions in the past,” explains Scott Feuless, a senior consultant with IT consultancy Compass. “It’s generally been more about meeting short-term budgetary goals: getting assets off the books, temporarily improving cash flow, or all of the above. Companies are realizing that they may have to change their sourcing decisions from time to time to continue getting the most bang for their buck.”

Read more from CIO.com

KnowledgeSurf Updated Its Flash Flex Based Online Poker Game Platform

Xi-an.biz -  Xi’an based KnowledgeSurf  Technologies, one of the top 50 IT outsourcing providers in China focusing on rich media(flash/flex/actionscript/AIR) and web(PHP/Java) solutions, announced that its latest release of  online game product of poker game platform has passed the load testing for 10,0000 players.

With skilled in-house Flash/Flex/Java/PHP developers and Graphic designers, Xi’an KnowledgeSurf, located at Xi’an Software Park, has been working in poker game industry for more than 3 years. Based on the previous experience, KnowledgeSurf keeps optimizing the poker game platform and wants to build it as one complete best practice solution for worldwide clients who are looking for the best performing poker game platform with many types of poker games integrated.

“It is a comprehensive poker game platform with complex dynamic configuration ability, competitive implementation on game management, bot management and payment gateway integration. We have finished games of Texas Hold’em, BlackJack, 13 Cards, Baccarat, Slot, Roulette, Casino War and so on, all the games can be integrated to the poker game platforms.” said by Sean Hao, VP of Xi’an KnowledgeSurf Technologies, “And today, we are pleased to announce that our poker game platform has successfully passed the load run for 10,0000 players.” He added.

With the expertise of flash/flex/Java/PHP and the comprehensive feature on the game such as live message chat and Avatar, Xi’an KnowledgeSurf is committed to provide the poker game platform with the best user experience to its global clients.

“Since more and more outsourcing service buyers choose China Xi’an as their outsourcing destination, we have got many inquiries in regard to our poker game development services recently. To enhance our capability meeting the market needs, Xi’an KnowledgeSurf has invested more Senior Flash/Flex/Java/PHP developers into poker game development.” said by Serena, Sales Manager of Xi’an KnowledgeSurf Technologies.

About Xi’an KnowledgeSurf

http://blog.KnowledgeSurf.com

http://knowledgesurf.com/flash-online-game-platform

China Will Lead In Mobile Outsourcing after 30 Billion Investment in 3G Infrastructure

Santa Clara. The new wave of SmartPhones lead by Android and iPhone combines with the evolving of 3G network, give China, the world’s largest mobile market, a great opportunity to lead in mobile outsourcing.

China had been seen as a follower of India in outsourcing industry for decades.  It will still take years for China to even build the infrature to support large scale collaboration with US enterprises. Most of large US companies chose India as their primary global R&D center out side of US, like Oracle, Intel, and so on. However, with world’s largest mobile operator jumped into 3G network and Android powered smart phone, followed by China Unicom’s deal with Apple for its iPhone 3.0, things are changing

China is far ahead of Indina for 3G infrastrcuture. The three operators in China annouced more than 30 billion USD combined investment plan on its 3G infrastrcuture. The plan is bigger than most of the developed countries.  With world’s largest mobile subsriber base, China indeed will be able to produce large numbers of software companies just for its domestic 3G and SmartPhone development needs. Late last year, China exceeded US became world’s No.1 for internet users. However, it is just a beginning. With the deployment of 3G network this year and smartphones, China willdefinitely have  world’s largest Mobile Internet community. 

Your may want to ask, what does this to do with mobile outsourcing? It is clear that, its hard for team of developers who cannot use 3G network with a smartphone at their daily life to compete with another team of developers in China who uses them at their daily life. With the infrastruture, the market, the user experiences,  China’s outsourcing developers soon will have some thing they had dreamed for decade: advantages.

I don’t have the numbers to show you how soon, but I knew, its coming, no late then 2010.

China Operator’s investment in 3G (Source: Sohu.com):

  China Mobile China Telecom China Unicom
Plan of 2009 Invest  58.8 billion to establish about 60,000 new TD base stations, Make the network cover the business hotspots of 238 prefecture-level cities. 80 billion investment in three years to upgrade and transform, and optimize the CDMA networks, to strengthen the network signal coverage. 60 billion investment (make 3G services cover 282 cities within the year of 2009,  55 of these cities should be done in the first half year).

Google Android’s Biggest Hope – China

ExtendLogic – Google’s Android 1.5  is facing a tough competition in catching up with iPhone 3.0 in US, but not everywhere else. China absolutely is Google’s biggest hope.

China’s mobile released its version of mobile operation sytem recently, which is based on Google’s Android platform. With more than 400M subscribers, China Mobile failed to made agreement with Apple for its iPhone. As the result, China Mobile might be the largest operator for Android soon.

Besides OMS, several manufactors had reported plans to release Anroid based phone in China, of cause, not only for China Mobile. This makes China the biggest potential market for Android and most likely will not face the same level of competition it faced in US with Apple.

With a large resources pool of expereinces Java developers,  Android platform is far more popular than iPhone in the development communities.  Not only that, the Chinese operators and government all like the open source nature of the platform, so they can take over the control. I met lots of developers who are excited with Android development while I was in China one month ago. All of them were Java developers.

  Break down of subscriber data in Jan (sohu.com)

  China Mobile China Telecom China Unicom
The total number ofusers (by January 31, 2009) 463,920,000 28,930,000 134,000,000
Number of new users in January 2009 6,670,000 1,020,000 839,000
Number of new users in December 2008 7,070,000 -6 0,000 424,000

China’s top 50 outsourcing vendors released

Chinasourcing – Top 50 Service Outsourcing Providers in China 2008 list was published on March 8, 2009 on Chinasourcing website (www.chnsourcing.com). The Top50 evaluation is organized by Devott Co., Ltd. Enterprises scale, amount and capacity are the key indicators to measure a nation’s industry development. Through this year’s evaluation, we are pleased to see that compared with 2007, China’s service outsourcing enterprises have got remarkable improvements in scale, capability and overall amount which would certainly bring the advance of China’s position in the global outsourcing industry, so as to promote the further growth of the whole industry. We hope that in the new round of service outsourcing wave, China’s service outsourcing enterprises troops presented by the Top 50 can grasp the opportunity of the global industrial transfer, stand the test, and realize a great-leap-forward development on China’s service outsourcing industry. 

http://www.chnsourcing.com/top50/2008/

China’s BPO Capital Rising in Software Outsourcing

Xi’an, well known as China’s BPO capital, had focused its effort in software offshore outsourcing. As the outsourcing center for Huawei, and many other software companies, offshore outsourcing had succeeded BPO in the past two years. The XA high tech zone, which hosts most of the offshore development centers, release lots of new policies in supporting offshore outsourcing companies, like Knowledgesurf.

“We believe Xi’an is a great opportunity,” David Cao, Chairman of Xi’an KnowledgeSurf  Technologies, said in a local outsourcing event, “The global economic crisis had forced all the outsourcing vendor to improvce its quality with a lower cost, and increase the barriers for outsourcing industry, which is bring great opportunities for companies like KnoweldgeSurf which invested by Silicon Valley based ExtendLogic.”

 

Xi’an, China Seeks Investments and Partnerships with Wide-Ranging Industries in Silicon Valley and Across the USA

update: 1:44 a.m. EDT Oct. 15, 2008

SANTA CLARA, Calif., Oct 15, 2008 /PRNewswire via COMTEX/ — Xi’an’s prominence as a high-tech center is one of China’s best-kept secrets. Speaker after speaker said as much during the 2008 Xi’an Investment Environment Promotion Forum in Silicon Valley, Monday. “People know about the history of China, but they don’t know a lot about its technology and education,” said Qingyun Sun, Director for the Xi’an People’s Congress and the leader of a high-level delegation which arrived in San Francisco, Sunday, for a three-city visit. Sun added that high tech is one of the five pillar industries that Xi’an is developing and promoting, and “efforts need to be intensified to highlight the city’s many strengths.”

China’s Consul General in San Francisco, Zhansheng Gao, took note of the fact that the Xi’an delegation’s visit has coincided with a difficult period for people all over the world, and he said that the group had arrived in the Bay Area at a good time. “The world faces severe challenges, and closer cooperation between nations is needed more than ever,” he said. “This forum is a great place to exchange views on the current situation and to expand views of both Silicon Valley and Xi’an.”

Among the people expanding the views of both high-tech locations was Joe Pon, VP of Applied Materials. Pon told a packed room at the Hyatt Regency that his company was the first to set up semi-conductor manufacturing operations in China, and that the investment has paid off in multiple ways and in multiple cities. Applied Materials initially set up in Beijing and later in Shanghai, but when the time came to expand, the company selected Xi’an. “We looked at the quality of people coming out of university in Xi’an,” said Pon, “And we needed an area that had expertise in aeronautics, aerospace, large complex systems and deep engineering experience.”

David Li, Deputy Director of the Xi’an Municipal Bureau of Foreign Trade and Economic Cooperation, highlighted more facts about Xi’an including its advantages for potential investors. “One third of China’s space flight technology is centered in Xi’an,” he said. “In fact, for the space flight and space walk that took place recently, the engine, propellant, on-board computers, and remote-sensing devices were designed and manufactured in Xi’an.” Li also spoke about proactive measures on strengthening the legal system and protecting intellectual property rights–all moves to make the business climate more attractive to international companies.

Other speakers such as Jing Zhao, Vice Director of the Xi’an High-Tech Zone, Larry Pei of CompuPacific, Charles Han of Fast Commerce, and Alex Wang of ExtendLogic were equally generous with their praise of Xi’an’s business and educational assets. Chief among those assets are the legions of university graduates that provide a ready pool of high-tech talent to a wide range of international companies. Official figures put Xi’an’s student body at well over 800,000 students, and Zhao says that each year more than 10,000 students complete their Masters and Doctorate degrees.

The Forum was organized by the Xi’an Municipal Government in conjunction with Silicon Valley’s Global Sourcing Alliance. It was co-hosted by the following San Francisco Bay Area organizations:

– B2B Power Exchange

– Chamber of Commerce International Consortium for Entrepreneurs

– Deloitte Tax

– Silicon Valley Chinese Engineering Association

– Silicon Valley Information Business Alliance

– Squire, Sanders & Dempsey, L.L.P.

– Xi’an Software Outsourcing Alliance

The Xi’an diplomats will travel next to Chicago and New York and, during their US visit, the delegation will sign agreements with the following companies:

– Applied Materials

– Honeywell

– Broadway

– Parago

– Citibank

Details about those pacts are confidential, but the agreements signal that Xi’an continues to attract companies that want a high-tech, business-friendly environment with a stable and highly educated work force with unlimited potential.

About Xi’an, China

Xi’an is a trade and technology center in western China, with market coverage of the 5 provinces. Moreover, foreign and domestic business magnates such as Metro, Trust-Mart, Homeclub, Guomei, and Suning have established successful operations there. There are hundreds of thousands of wholesalers and retailers in Xi’an, with 1.07 million staff members. Xi’an has several software and technology zones, including Electronic Industrial Park, Chang’an Technology Park, Xi’an Software Park, Hi-Tech Export Processing Base, Xi’an Jiaotong University Science Park, Xidian University Software Park, Northwest Polytechnic University Science Park, Biopharmaceutical Park, and Advanced Material Science Park. In its various locations, XAHTP hosts IBM, Hewlett-Packard, Philips, NEC, and Fujitsu. In 2002, Xi’an was designated not only as a National Software Base, one of ten, but was given the go-ahead to become China’s largest such hub.
About Global Sourcing Alliance (GSA)
GSA is a Silicon-Valley-based, non-profit organization dedicated to helping companies in getting started with the global sourcing of IT solutions. Founded in 2007, GSA’s members are outsourcing service providers, experts and advocates; outsourcing-related, non-profit and government organizations; and outsourcing service buyers. Our members utilize GSA to promote and learn about global sourcing through meetings, consultations, and interactions over our Outsourcing Information Exchange Platform (OIEP). Visit www.GlobalSourcingInfo.org for additional information.

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