Calgary’s budding tech sector continues to expand, with another multinational I.T. firm preparing to bring up to 1,000 jobs to the city. The Bangalore-based Mphasis Ltd., a provider of I.T. outsourcing services, will announce Wednesday setting up a Canadian headquarters in the city.
Responsible pet ownership bylaw passed by council.
“We have made our bet on the ecosystem play. We have a bet on the fact that we would find a lot of raw talent,” Mphasis CEO Mr Nitin Rakesh stated in an interview.
“We think that we can create up to 1,000 jobs in the next two or three years, mostly through local demand.”
The firm, which has a retail capitalization of about $5 billion, currently have their regional offices in Canada, including Mississauga, Ont., that are a part of its broader North American operations.
A primary I.T. provider to extensive insurance firms and financial services, Mphasis has a small footprint in Canada and would want to expand its physiographic reach and service lines. A decision about the location of the company’s new Canadian headquarters took between 18 to 24 months to finish and incorporate a visit to India by a Calgary delegation early the previous year.
Mr Rakesh expects Mphasis to begin setting up in the city within the next 3 to 6 months. It has already filtered potential offices and will likely establish two separate centres.
Jobs based in Calgary will represent various tech-related occupations such as developers and automation-related posts. The company’s native offices will have a data-science strategy, a cloud-computing focus, and conduct work in artificial intelligence areas added Mr Rakesh.
It’s also expected that the company is looking to set up a hub for quantum computing.
Mphasis has aggressive global expansion plans and has seen its share price jump by 123 per cent over the past year. In April, the U.S. private equity firm Blackstone with five other funds obtained a controlling stake in the company.
For the city, the announcement is an additional confirmation that the local technology industry is finding its footing and is growing in different ways and different areas.
The sector has been building a solid base for startup companies to grow. Still, the city is now beginning to attract multibillion-dollar tech giants who want to establish Calgary operations.
In March, Infosys announced it would bring five hundred new jobs to Calgary within three years, which allows the global consulting and I.T. services firm to aid clients across Western Canada and the U.S.
At the time, Infosys President Mr Ravi Kumar cited local post-secondary institutions, a low cost of living, and high quality of life as critical factors for establishing an office in Calgary.
With such elements in the city’s favour, Calgary has a solid argument to both the decision-makers and employees, and it’s gaining attention from tech companies looking to expand or move, said Mr David Knight Legg, CEO of Invest Alberta.
“These are world-changing businesses, and they like to change the world from Calgary,” he stated.
“They’ve done the research and can move their organization anywhere around the world.”
Nevertheless, one constraint for expanding the sector — both in Alberta and globally has been finding skilled and experienced workers in the field to meet the rising demand as the digital variation across the economy achieves speed.
Mphasis is confident that it could help the growth of tech talent in Calgary, working with the city, the province, and educational institutions.
Mr Rakesh noted the company set up an office in Dallas 2 years ago and already has more than 600 employees.
“The oil and gas (industry) is, in one way, a good foundation because, in the end, a good deal of the oil and gas work is around data. So we have found a good ecosystem for good talent. Now, the talent has to be in a way that is aligned towards the new-age economy, telecom and cloud (computing) and all other sorts of work around Artificial Intelligence,” he said.
“We are committing that this will become a headquarters because we think there is a chance.”
There has also been an anxious effort to address talent limitations. Post-secondary institutions like the University of Calgary and SAIT expand and prepare to train more individuals to work.
“Post-secondaries are critical to unlocking Calgary as the tech centre of North America,” stated Mr Coun Jeff Davison, a Calgary Economic Development board member.
“It’s not all about just getting companies here, but allowing them to expand their business in here because you have the right talent available to them.”
The technology sector has been overgrowing, with more than 3,000 such businesses now operating in Alberta, up from 1,238 in 2018.
Wednesday’s announcement follows on the heels of several Alberta-based tech companies such as Symend, Attabotics, and Neo Financial successfully raising millions of dollars from investors.
According to a review by the Canadian Venture Capital and Private Equity Association, in the first three months of the year, the Alberta-based tech companies raised $218 million in venture capital, from $53 million during the same time in 2020.
“It is encouraging to see that not only venture capital is coming in, but also the number of jobs that are created by that investment,” stated Jobs, Economy, and Innovation Minister Mr Doug Schweitzer.
For Calgary, its past success is helping to ignite more interest from the outside of the community.
Since the announcement by Infosys, Mr Schweitzer said the province is seeing more inquiries from other firms inspecting Alberta.
Experts say that the continued development of the tech ecosystem is critical, especially with companies, talent, and investors feeding off one another to generate more momentum.
“We are excited because we are making a big leap of faith, and we understand the aim for the province and the city,” Mr Rakesh added.
“We are looking forward to being a catalyst and a big part of that transformation story.”
For Mphasis News and Latest IT Industry News
Follow us on Google News and Twitter
For Latest IT Industry News, Follow us on Google News and Twitter