Infosys signs agreement to set up software development centers in China
Investment of $65 million in the next five years
Bangalore, August 4, 2005: Infosys Technologies (Shanghai) Company Ltd., the China subsidiary of Infosys Technologies Ltd., today signed letters of intent with Shanghai Zhangjiang (Group) Company Ltd. and with the Administrative Commission of Hanghzhou Hi-Tech Development Industry Zone-Hangzhou, to set up software development centers in China. Infosys currently has 250 employees in China.
The new centers, to be located in Shanghai and Hangzhou, will see a total investment of $65 million in the next five years and will accommodate 6000 engineers. The Shanghai centre, to be built on 25,000 sq meters of land will get an initial investment of $10 million in the next two years. On the Hangzhou project, Infosys plans to invest $15 million for a centre on 100,000 sq metres of land, in the next two years.
Speaking on the occasion, Mr. James Lin, CEO & Managing Director, Infosys Technologies (Shanghai) Company Ltd., said, "Infosys follows a strategy of setting up world-class software development centers in locations where there is rich local talent as well as the required infrastructure. It will also enable us to combine local talent with Infosys' Global Delivery Model to provide our clients with best-in-class services. We thank the Government for their support and commitment towards promoting centers of excellence in the region."
Mr. Chen Jianbo, CEO, Shanghai Zhangjiang Group Co. Ltd said, "As part of our vision for Shanghai, we are committed to creating a pervasive IT culture in the city. Infosys' new centers in the region are proof of the IT-friendly policies rolled out by the government in attracting world-class organizations. We wish Infosys all success in this venture and hope these development centers will be a model for others to follow."
Mr. James Lin said that the new centers will undertake projects in software development, IT Services and IT-Enabled Services and will also act as one of the training and research centers of the company.
According to Mr. Hong Hangyong, Secretary, CCP of Administrative Commission of Hangzhou Hi-Tech Industry Development Zone, "Infosys Hangzhou campus is the first large investment project by a global software company in the Hangzhou Hi-Tech Zone. This is a proof of the IT friendly policies rolled out by the government in attracting world-class organizations. Investment by a global leader such as Infosys will enhance Hangzhou's attempts at building an IT centre in this beautiful city which is also a science and technology centre. It will also start a new chapter in the development of the software industry in the Zhejiang province."
The projects are expected to start by January 2006 and will have state-of-the-art technological infrastructure for software services and recreational facilities for employees, similar to other development centers of Infosys.