TCS to set up Asia-Pacific software production in RI
TCS to set up Asia-Pacific software production in RI
Rendi A. Witular, The Jakarta Post, New Delhi
India's largest computer software producer, Tata Consultancy
Service Ltd. (TCS) could well be planning to open its Asia-
Pacific headquarters in Jakarta, which would also function as a
software production center for the region.
Coordinating Minister for the Economy Aburizal Bakrie
announced on Wednesday that TCS executives had conveyed their
seriousness about expanding the business in Indonesia during a
private breakfast meeting with President Susilo.
"TCS is very serious about making Jakarta its Asia-Pacific
headquarters as well as a center for software production for the
local and export markets. Their investment is not huge, but the
export of their products will be huge," said Aburizal.
There were no further details about the meeting from the
company's executives.
In the first quarter of this year, TCS recorded revenue of
US$9.82 billion, higher than its rival, Infosys Techonologies
Ltd., which booked a revenue of $6.85 billion.
TCS is part of one of Asia's largest conglomerates, Tata
Group, which has interests in energy, telecommunications,
financial services, chemicals, engineering and materials.
Five years ago, the Indonesian Ministry of Trade and Industry
predicted that software could contribute to the country's target
of US$30 billion in the exports of electronic products by 2010.
The ministry reported a $6 billion electronics exports revenue in
2003 and expects that the figure could more than double to $13
billion next year.
Industry Minister Andung Nitimihardja claimed on Tuesday that
exports of software alone from Indonesia amounted to US$400
million last year, but he did give any more details.
Aside from the meeting with TCS, President Susilo also met
executives from the Essar Group, who conveyed their seriousness
about expanding business in Indonesia in the oil refinery, steel
and power sectors. Essar has already invested approximately $180
million in a steel production plant in Cilegon, Banten.
In the evening, President Susilo also met 20 Indian
businessmen and 15 Indonesian businessmen during a business
forum.