TCS strengthens position in Hungary
Monday, July 18, 2005, 00:00
Tata Consultancy Services (TCS), India?s largest software developer and the country?s first outsourcing company, is expanding its Hungarian operations, Portfolio.hu reported based on a Financial Times article. Hungary had to compete with Poland, the Czech Republic and Romania for the project, eventually coming out on top thanks to its good infrastructure, stable currency and political environment and its highly trained workforce. TCS has been present in Hungary since 2001, and is now planning to move a plant to Hungary. The company will hire 700 employees in three years, pushing its total local workforce above 1,000.
Other Indian companies planning expansion in the CEE region could follow the example of TCS, including Wipro, which is contemplating setting up units in Hungary, Romania, Ukraine and Russia.
TCS gets 52% of its revenue from the U.S. and 25% from Europe. Within Europe, it favors Eastern European locations due to more favorable financial conditions, so the company is planning to open at least one other unit in Poland, Russia or Romania, creating some 500 jobs in the process.