A study by Zinnov, headquartered in Bangalore, India, pointed out that India’s Engineering R&D (ER&D) globalization and services market which currently stands at $22.3 billion is expected to reach $38 billion by 2020. Companies from the Consumer / eWeb 2.0 and the E-Commerce verticals have significantly increased their R&D spending, reports CXOtoday.com.
Pari Natrajan, CEO of Zinnov said, “R&D Globalization as a phenomenon is here to stay with locations in emerging economies being the hotspot. The drivers for outsourcing have changed tremendously over the last year and some newer trends have emerged like the R&D Service providers exploring engineering opportunities beyond Product Development Life Cycle activities; Emergence of End-to-End Full stack Product Engineering Service providers and the Rise of the Global-Shore model.”
The studies find that the overall R&D Globalization in Emerging Economies pegs at $34 billion. India, Western Europe and North America capture 75% of the global Engineering R&D Services market.
