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Software firms join forces for Indian service centre venture

German middleware software supplier Software has teamed with iGate Global Solutions to launch and operate a software development...

German middleware software supplier Software has teamed with iGate Global Solutions to launch and operate a software development and service centre in India, in a move aimed at bringing new products to market faster and cheaper.

The joint venture, to be known as SAG India, is slated to begin operation in October with an initial staff of 50 people. It will focus on developing new applications on top of Software's platforms for mobile computing and content management, while providing support services for projects involving the software engineering team at the German company's headquarters.

By taking advantage of skilled programmers and lower labour costs in India, Software expects the offshore unit to help reduce software development costs and speed up the delivery of new products.

Software, based in Darmstadt, will own 51% of SAG India, with iGate Global Solutions holding the rest.

The German vendor develops business software products supporting the XML (Extensible Markup Language) standard.

IGate Global Solutions, formerly Mascot Systems, is based in Bangalore. The company, a subsidiary of iGate in Pittsburgh, offers a range of services, such as application development, infrastructure management and consulting. Its products span a number of areas, including customer relationship management, enterprise relationship management and supply chain management.

The move into India follows a similar move by German business software vendor SAP. In July, SAP said it would double the number of software engineers at its Indian development centre.

John Blau writes for IDG News Service

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