KPMG Deal Tracker - 3Q14

KPMG Deal Tracker - 3Q14

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July to September 2014

 

Key highlights:

  • In 3Q14 (July to September 2014), 197 ITO contracts worth USD 17.1 billion and 103 BPO contracts worth USD 17.9  billion were signed worldwide
  • Globally 24 IT-BPO bundled deals were signed in 3Q14 with contract value worth USD 4.8 billion
  • In terms of value, approximately 70 percent of deals by value originated from the United States, followed by Spain with more than 5 per cent. Brazil and India were the other key outsourcers
  • The average deal tenure has been consistently increasing since 1Q14, with an increase of one month as compared to 2Q14, to four years seven months in 3Q14
  • Defence and government sectors continue to be top consumers of IT-BPO services contributing to 44 per cent and 30 per cent respectively in terms of value of all outsourcing deals signed in 3Q14
  • ICT Services and BPO Bundled Services contributed USD 5.5 billion and USD 8.5 billion respectively and were among the largest procured services globally within ITO and BPO outsourced services respectively
  • Average annualised contract value in 3Q14 was USD 24.9 million as compared to USD 27.7 million during 3Q13, showing a minor decrease between the two quarters

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