By scope, the ACV of contracts for BPO totaled $1.6 billion during the third quarter, a rise of 12 percent from the same quarter a year ago but a decline of 32 percent from the quarter before. Year-to-date ACV of $5.6 billion is up 17 percent, driven by larger awards in functional domains such as industry-specific BPO and Facilities Management.
IT outsourcing (ITO) ACV of $3.2 billion fell 13 percent year-over-year but rose 8 percent sequentially. Year to date, $9.2 billion in ITO ACV has been awarded, a decline of 3 percent. However, ITO totals in both the Americas and Asia Pacific are up by double-digit percentages.
By region, Asia Pacific continued to turn in the strongest overall growth in 2012. During the third quarter, the region's ACV totaled nearly $700 million, up 55 percent year-over-year but down 51 percent sequentially. Year-to-date ACV of $2.5 billion rose 72 percent over 2011, with China, India and Southeast Asia all experiencing robust growth.
In the Americas,
$1.6 billion in ACV was awarded, a drop of 11 percent year-over-year and 8 percent sequentially. In
Middle East and
$2.5 billion in ACV was awarded in the third quarter, a decline of 12 percent year-over-year but a rise of 14 percent sequentially.
Said Keppel: "The third quarter got the second-half resurgence we predicted off to a promising start. We anticipate improvement in the fourth quarter, with help from some larger deals that are ready to go to award. For the full year, the market should meet or exceed its 2011 performance of almost $20 billion in ACV."