HP selects local operation as one of global ITO hubs

Tuesday, January 25, 2011

HP (NYSE: HPQ) has selected its Costa Rican unit as one of its global ITO hubs, company executives Jeff Womack and Ludger Rohlmann said during a recent visit to the country, according to local paper La Nacion.

Costa Rica will join Bulgaria, India, Malaysia, the Philippines and China as the company's global ITO hubs. The Costa Rican center will provide corporate customers with services including network and email administration and application and server management.

The executives said that in selecting Costa Rica for a hub, HP considered the local workforce's talent, the existing HP operations there, and the fact that the country is in a time zone similar to the US's. According to the executives, the country's designation as an ITO global hub will expand the local payroll.

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Womack said HP's Costa Rica unit had proven to be a "tremendous operation," with both North American and European clients. He highlighted the unit's ability to provide services in different languages and in areas such as financial support.

HP has not revealed how much money will be invested in the Costa Rican operation, but said previously it would invest US$1bn to transform and expand global business services when it announced the original plans to open six global ITO centers.

Recently wrapping up its eighth year of operation, HP's Costa Rican unit employs 6,300 people in the country. Elsewhere in Latin America, HP has operations in countries such as Argentina, Brazil, Chile and Mexico.