The Hindu Business Line : GlobalLogic plans to invest Rs 225 cr

GlobalLogic (formerly Induslogic), a US-based product development services company with offshore development centres in India, plans to invest around $50 million (Rs 225 crore) in India in the next couple of years.

It plans to set up development centres in multiple locations including Chennai, Hyderabad and Pune, according to Mr Rohit Sharma, Director, Marketing, GlobalLogic India.

With revenue of $50 million, GlobalLogic globally employs around 1,600 professionals in Delhi, where it has three centres with 1,200 people, Nagpur 250, Kiev, Ukraine 300 and the US 50. It is privately held and backed by Sequoia, NEA and Draper. It recently got funding of $12.5 million from Sequoia, a venture capital fund, he told Business Line.

GlobalLogic has developed a joint-venture model of partnering with companies to create a dedicated global delivery centre. By leveraging GlobalLogic's global facilities and its engineers, software companies can increase quality while reducing timelines and operating costs by more than 60 per cent.

Its partners include companies such as AOL, Autodesk, Avolent, Electronic Arts, IBM, i-flex, NexTone, Sony Digital and Trimble, said Mr Sharma.

Global market

Quoting a Nasscom-McKinsey report, Mr Sharma said the global market for product and technology services, also known as outsourced product development, is likely to be $8-11 billion by 2008.

GlobalLogic through its India centres would have a share of this huge market. Using its India, Kiev and US centres, GlobalLogic has integrated its product development. For instance, to develop a mobile product, the Kiev centre would do the design and an Indian centre would develop and test the product, which would go to the US for final quality testing, he said.