vMoksha ties up with Chinadotcom for its rapid growth strategy

Our Convergence Bureau
21 May 2003

Mumbai: vMoksha Technologies (www.vmoksha.com), the Bangalore-based offshore IT outsourcing services company, has announced that as part of its rapid growth strategy it has reached an agreement for setting up a joint venture (JV) with CDC Outsourcing, the outsourcing unit of Chinadotcom Corporation (www.corp.china.com). Chinadotcom is a leading integrated enterprise solutions company in Asia with cash reserves of $366 million as of 31 March 2003.

Chinadotcom will hold a 51-per cent interest in the JV with vMoksha owning 49 per cent. The JV aims to provide a broad range of outsourcing-related services to major software vendors and enterprises in the US, Europe and the Asia-Pacific region. It will have sales and marketing offices in the US, the UK and Australia, while its centres in India and China will primarily focus on offshore development.

The JV should bring about substantial increases in outsourcing services business for vMoksha through access to the clients and relationships of Chinadotcom and its global clients. vMoksha and its partners in the US and elsewhere will also leverage this relationship to make an entry into China with their products and services. vMoksha will also provide merger and acquisition evaluation services, based on its experience, that will provide vMoksha additional outsourcing business through the JV.

vMoksha has proven capability in offshore outsourcing services, made up of product engineering, product migration, package implementation, remote maintenance and support which will be leveraged by the JV along with its China-based capabilities to access global clients.

The service offerings to be provided through the JV are designed to offer clients an unbeatable value proposition — competitive pricing, domain expertise and depth of knowledge, combined with proven delivery capability and high quality management. This JV is also expected to expand Chinadotcom''s outsourcing capability and capacity for its clients.

Once in effect, customers of both JV partners will have additional options that may better fit their requirements, whether it is a specific skill, experience, language or location. The JV will foster a close working relationship between vMoksha and Chinadotcom, where projects will be jointly bid and executed, staff will be cross-trained and methodologies will be shared.