Bell Canada to outsource projects to India

Canadian telecom giant Bell Canada, a subsidiary of Bell Canada Enterprises Inc (BCE Inc), is planning to outsource key voice-based projects for its internet and satellite TV divisions to India. The telecom giant, , according to market sources, is currently in the nascent stages of scouting for an outsourcing partner in India and will float a formal tender once it frames a vendor shortlist.

 

"The projects being sent to India will be inbound in nature and Bell Canada is looking at a BPO partner with strong competencies in front-end work for international clients. A formal tender to the effect is yet to be floated as the scouting process for a partner is still in the initial stages. The deal size could be between $15 million to $25 million annually on initial estimates," sources said.

 

A Bell Canada spokesperson did not reply to a mail seeking comment on the development.

 

The $14.8-billion Bell Canada is a leading player in the Canadian wireless telecommunication industry, controlling about 30 per cent of total wireless subscribers in that country. Wireless, the key revenue driver, makes up roughly 50 per cent of Bell Canada's revenues.

 

Over the last 10 years, Bell Canada’s holding company BCE Inc has branched out into complementary business segments such as cable TV, VoIP, IPTV, broadband Internet, and wireline phones. With this, key divisions under Bell Canada include Internet services provider Bell Internet, cellular wireless services provider Bell Mobility and direct-to-home satellite division Bell TV.

 

Bell Mobility provides mobile voice, data, and Internet services to 6.5 million customers, primarily in northern and eastern Canada, under the Bell Mobility and Solo Mobile brands. At the end of the January-March quarter this year, Bell had over 2 million high-speed Internet customer connections.

 

BCE Inc, with consolidated revenues of $17.7 billion in 2008 (including Bell Alliant), partially or fully owns 17 companies in the areas of telecommunications, media, and information technology. It also markets services in other regions under the Virgin brand through subsidiary Virgin Mobile Canada which operates in partnership with Virgin Group.

 

Canadian companies outsourcing to India are still few and far between, while US companies engaged in reinsurance and mortgage services are renewing their focus on Indian outsourced services providers. Front-end BPO work typically involves outbound and inbound work in debt settlement lead generation. While outbound work is typically around $20 per lead, inbound lead generation is paid at the hourly rate of $10.