Engineering Services: A Huge Market

Global spending for engineering services is currently estimated

at $750 bn per year, an amount nearly equal to India's entire gross domestic

product in 2005. By 2020, the worldwide spend on engineering services is

expected to increase to more than $1 tn.

Key sectors that dominate global engineering spends include

high-technology/telecom, automotive and aerospace-accounting for over 55% of

the total. Other sectors include industrial, defence, utilities and

construction.

To date, offshoring of innovation services has largely been done

in advanced countries-only 9% of the world's budget for engineering found

its way to low-cost countries.

Of the $750 bn spent today, only $10-15 bn is currently being

offshored-a tiny fraction of the total. India brings home about 12-15% of

today's offshored market, which it currently shares with Canada, China,

Mexico, and Eastern Europe. This trend towards building increasingly global

R&D footprints, observed over the past few decades, is expected to

accelerate over the coming years with emerging economies-notably India

emerging as the destination of choice for these expansions.

Rolta India



Rolta India is a provider of computer-aided design (CAD), computer-aided
manufacturing (CAM), geo-spatial information system (GIS) solutions, e-business

and other information technology (IT)-related services. It is also a provider of

plant design automation (PDA) solutions and services in India. Rolta declared

its results for the third quarter ended March 31, 2007; Revenue stood at Rs

185.6 crore, an increase of 30.8% from Rs 141.9 crore in the same period last

year. Net Profit stood at Rs 45.5 crore, an increase of 37.9% as compared to Rs

33 crore in the same period last year.

During the quarter Rolta appointed Ben Eazzetta as president of

International Operations. He will head Rolta's subsidiaries in the US, Europe

and the Middle East. Prior to Rolta, Ben Eazzetta was president of Intergraph's

SG&I (Security, Government, and Infrastructure) division at Huntsville, US.

Rolta also became the Principal Member of OGC (Open Geospatial Consortium). It

is also expanding its presence in the Asia Pacific region, Qatar, Abu Dhabi and

Australia. Rolta has development centers in the US, Canada, Germany, the

Netherlands, Saudi Arabia, UAE and India.

Infotech



Infotech Enterprises is an India-based information technology (IT) consulting,
services, and business process outsourcing company It offers services across a

range of technologies to include the utilities, transportation and government (UTG),

and the manufacturing and industrial products (EMI). It declared its results for

the fourth quarter ended March 31, 2007; revenue stood at Rs 151.2 crore, an

increase of 5.7% on a q-o-q basis as compared to Rs 143 crore and an increase of

40.2% on a y-o-y basis from Rs 107.8 crore. Net Profit for the period stood at

Rs 24.9 crore, an increase of 32.5% on a q-o-q basis as compared to Rs 18.8

crore and an increase of 49.8% on a y-o-y basis from Rs 16.6 crore.

During the quarter Infotech launched its operations in Kakinada

with a development center created with the joint effort of STPI (Software

Technology Park of India) and Infotech to develop a tier-2 destination for IT

companies. Infotech is expanding business in Automotive and Marine Engineering

Services with focus on avionics and embedded software development. It also

expects its revenue to reach $120 mn in this fiscal as compared to $83 mn in the

last fiscal.