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Legal Process Outsourcing (LPO)
Revenue Growth in Indian LPO Industry
1,100

(graphs show Indian fiscal years)

Comments
? Legal Process Outsourcing (LPO) is the practice of outsourcing legal support services to an external firm. LPO can be offshored (in another country), in-shored (outsourced within the same country), near-shored (assigned to a nearby country) or right-shored (taken to places, regardless of location, which provide the best combination of cost and efficiency). Legal services in India grew by 8.2% annually between FY 2006 and FY 2012, the Union Budget and Economic Survey 2012-13 said. India offers lower-cost legal professionals, advanced technologies, an advantageous time differential for Western clients and English language proficiency. India currently has around 1.2 million practicing lawyers, some 950 law schools and approximately 500,000 law students across the country. Some 60,000-70,000 law professionals graduate every year in India, compared to 40,000 in the United States, the Global Outsourcing Association of Lawyers (GOAL) said in January 2013. The market size of the Indian LPO industry, which emerged in the early 2000s, totaled USD 360mn in 2010 and is forecast at USD 956mn in 2014, Technavio said in a report. In 2011, Indian consultancy ValueNotes Database Private forecast USD 1.1bn in LPO revenue by 2014. India's 2010 LPO revenue was at USD 440mn, ValueNotes said. The LPO market potential in the United States is expected to reach some USD 3bn by 2015, and Indian LPO firms will capture over 60% of that market, GOAL said.

48%

320
146

370 16%

440 19%

26%

?

2006

2008

2009

2010

2014

?

Revenue Estimates, USD mn

Revenue Growth, %

LPO Segmentation in India, 2010

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Contracts and Research 25% Intellectual Property Services 70% Litigation Support 5%

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Source: ValueNotes Research, Technavio, investopedia.com, KPO Consultants, Global Outsourcing Association of Lawyers
Any redistribution of this information is strictly prohibited. Copyright © 2013 Internet Securities, Inc. (trading as ISI Emerging Markets), all rights reserved.

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