Japan's NTT Communications Corporations (NTT Com) said it has acquired a significant stake in one of the Philippines' top call centre services providers to expand its reach in the IT outsourcing sector in the country.
NTT Com said it has acquired 50.1 percent interests in Freedom Resources Holdings Corporation, the holding company of the Diversified Technology Solutions International (DTSI Group), a systems integrator for call centres in the Philippines.
The capital infusion in DTSI Group is significant, the companies said, because of the Philippines' leadership role in the global business process outsourcing (BPO) industry.
DTSI develops systems and provides services to the IT-BPO operators in the Philippines. The company said its clientele accounts for 60 percent of the call centre seats in the Philippines.
The Philippine call centre business was estimated to have generated US$7.4 billion in revenues last year, out of the total US$11 billion BPO sector. The Philippine BPO sector is estimated to contribute five percent to the country's gross domestic product. In terms of seats and human resources, several industry figures have noted that the Philippines has already surpassed India in the vibrant global call centre industry.
"Global companies have been increasingly attracted to the Philippines' abundance of fluent English speakers and incentives offered by the government," the joint statement read.
Anthem, Inc., a DTSI Group company, is further forecasting high growth for its business of building and leasing contact centre platforms to companies looking to start up IT-BPO businesses in the Philippines.
DTSI sales for its fiscal year ending December 2011 was estimated to be 3.9 billion yen (US$48.9 million).
NTT Communications is a part of the NTT Group of companies along with Dimension Data, NTT DOCOMO and NTT DATA.
NTT DOCOMO has a stake in the Philippine Long Distance and Telephone Company (PLDT), the largest and most diversified telecommunications company in the Philippines with interests in BPO businesses.
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