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November 2019-January 2020

Nordic IT outsourcing: why India is leading the pack

The market for outsourced IT services in the Nordic countries has grown dramatically in the past 20 years, but some suppliers have taken much larger slices of that market growth than others. Perhaps surprisingly, it’s not the local European service providers that have been performing the best, but the globally distributed ones that are making use of India for skills and labour. It surely makes sense that local organisations should have the advantage when it comes to exploiting growing local markets. They know the culture, the language, they have people on the ground and they can benefit from existing networks of contacts. They should know when and how to grow to meet increasing demand. They can’t really lose, can they? For a while in the Nordic countries, this was true. Even in the early 2000s, it was the European IT services organisations that held sway over the region. Today, however, the picture is very different. The growth of Indian companies has significantly outstripped that of European ones, and this is true in the ...

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