Friday, April 22, 2005

Russian Software Outsourcing Industry: a Major Breakthrough

April 21, 2005 11:00 AM US Eastern Timezone
"Let's work together" said Former Soviet Union President and Nobel Laureate Mikhail Gorbachev, presenting the Russian high tech industry to an audience composed of Massachusetts business elite.

On April 12, 2005, the Massachusetts Software Council, the leading technology trade association in the state, held its traditional Spring Membership breakfast. Mikhail Gorbachev, formerly President of the Soviet Union and Nobel Laureate, gave the keynote presentation. Mr. Gorbachev spoke on the "Role of IT in the Global Economy" and introduced Russian software capabilities to the US business audience. The breakfast brought together more than 900 U.S. technology executives.
The key point of Mr. Gorbachev's presentation was the importance of equality in U.S. - Russian relationships in the areas of business and technology, as well as in the overall geopolitical relationship between the countries. He advocated building new bridges between U.S. and Russia. "Your meeting here is one of these bridges," he said.
Mr. Gorbachev pointed out that Russia seems ready to make a breakthrough economic step into the future. In the past, Russia succeeded in dominating in various fields of science and technology, and now the country seeks to apply these skills to become a worldwide leader in IT outsourcing.
The Russian IT outsourcing industry:
Many analysts recognize Russia as one of the principal players in the global IT outsourcing market. Russia has been exporting software services for more than 10 years, and today its average annual growth rate is 40%. Software export volumes are predicted to reach $1 billion in 2005. Low software development costs and highly skilled (especially in R&D) personnel are Russia's main competitive advantages. Recently the Russian government announced a support program for the industry, including creation of "techno parks," and legal and tax preferences are being considered.
Leader's opinions:
Joseph Feiman, Ph.D., vice president and research director at Gartner, commented that the Boston event might become a turning point in the way the Russian industry markets itself. "Russia's biggest asset is its highly educated and creative workforce," said Mr.Feiman,
Alexis Sukharev, AURIGA President, thanked Mr. Gorbachev for his contribution. "This exceptional event will become one of those mutually beneficial occasions that provides rich business opportunities to all participants and breaks new ground for further cooperation in the area of IT between US and Russian businesses," he said.
George Bell, Massachusetts Software Council Chairman said: "Surely the largest and best attended Massachusetts Software Council event ever."
About AURIGA, Inc:
AURIGA, one of the world's leading software services firms with engineering centers in Russia, offers robust business and technology solutions to the high-tech industry worldwide. We help our customers design, develop, test, deploy, maintain and enhance the most competitive software products and solutions. Auriga's software-outsourcing and technology-strategy consulting services are recognized as best-in-class by global high-tech majors for consistent quality and ground-breaking innovation.