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Wipro is planning to open up integrated centres of software development as well as BPO in Far-East and Romania to keep up with competition from low-cost economies. "We are planning to set up an integrated centre of software development and BPO in Bucharest to serve our clients in France and Germany which will be operational in the next 8-12 weeks while another such centre in Far East region is also planned," Azim Premji, chairman, Wipro said.
Wipro already has two centres in China-Beijing and Shanghai. He said challenges could come from low-cost IT/BPO destinations like China, Philippines, Eastern Europe and Russia but India will retain its competitive advantage as there will be huge gaps in costs, quality and supply of human resource.
Wipro has about 13 centres in low-cost economies and its business from these countries are also rising, he said. "India continues to be cost-effective. It costs $7500 for an engineer in India while the same is $55,000 in US. India churns out 3.5 lakh engineers per annum while it is 70,000 in US. Even with a 12% salary hike in India, the cost per person is less here," Premji added.
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