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New Boost for Shenzhen's Software Industry

Shenzhen's software industry has received a strong boost after a leading Indian software company agreed to share its experience with Shenzhen companies involved software outsourcing and management.

Zensar Technologies last week signed a deal with Broadengate Systems (Shenzhen) Ltd. and another 12 software companies from the Shenzhen Software Park to allow the Shenzhen companies to use the Indian company's software outsourcing network and management system.

"We chose Shenzhen as Zensar's development center in China because we found we could gain strong support from the local government," said Ganesh Natarajan, deputy chairman and managing director of Zensar Technologies.

Analysts said Zensar's move, a vote of confidence in Shenzhen's software industry, was expected to improve the local software industry's competitiveness in offshore development and help obtain more outsourcing business from the European and American markets.

Zensar, which held its first board meeting outside India in Shenzhen from Aug. 8 to 10, has set up a joint venture with Broadengate Systems Inc., a software outsourcing service company. Zensar has a 51 percent stake in the venture, called Zensar Tech-nologies (Shenzhen) Ltd., with the rest held by Broadengate Systems.

Natarajan expected to expand the venture's work force to 500 by 2007 from more than 100 now and boost its revenue to about US$25 million.

Ashish Rahinj, chief executive officer of the venture, said Zensar Shenzhen planned to recruit and send about 200 Chinese engineers to be trained in Zensar's headquarters in India in the next three years as the company needs qualified staff.

Shenzhen has been keen to develop its software industry and the city launched a software park dedicated to helping the sound growth of the city's soft-ware companies in 2001.

(Shenzhen Daily August 16, 2004)

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