Professional Documents
Culture Documents
April 2013
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Disclaimer
All the information contained in this report is obtained through proprietary technology aggregation algorithms, human experts, network of domain experts, discussions with industry leaders, public and confidential information sources believed to be reliable. Talent Neuron makes no representations or warranties regarding the errors, omissions or completeness of any information contained herein and shall have no liability for the same. The report is provided solely for informational and marketing purposes and opinions must not be construed as advice, recommendations or endorsements. The reader of the report is advised to conduct an independent evaluation and form conclusions with respect to the information provided.
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Location Analysis
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Understand the capability of each potential location and make data driven decisions on setup and expansion
Ecosystem Analysis
Understand the capability of each potential location and make data driven decisions on setup and expansion
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Ecosystem Insights
Capabilities
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Forecasts
Industry/Domain
Skill Wizard
Market Insights
Market Tracker
Company Tracker
Surveys
Expert Insights
Reports
ZINNOV KEY FOCUS IS ON THE TECHNOLOGY INDUSTRY. OVER 80% CLIENTS ARE IN THE PRODUCT ENGINEERING DOMAIN.
Consulting
Network 6 DOMAINS
TALENT NEURON HAS OVER 90 CITIES IN US AND 12 CITIES IN CANADA FOR EXPANDING IN THE NA REGION
Analytics
35 FUNCTIONs
150+ SKILL SETS
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Summary
Summary
Rapid adoption of smart phones, expanding m-commerce market and adoption of enterprise mobility solutions is creating significant opportunities in the mobile app space. The global m-commerce market is expected to touch USD 119 Billion by 2015, a 180% increase from 2012. In addition, enterprises have increased their adoption of Enterprise Mobility solutions driven by gains in operational efficiency, employee needs and peer pressure.
Revenues from mobile and tablet apps market in 2012-13 stood at USD 25.2 Billion. App stores recorded 56 Billion downloads with iOS platform having a 75% share followed by Android with 17%
Summary
What are companies doing to bridge the demand supply gap?
Companies are following a three pronged approach to bridge talent gap a) Leveraging Global Talent Hot Spots To Tap Key Skills
Summary
Large organizations are leveraging global locations (outside of the US) such as China, Israel and Europe which have availability of skilled talent for development related activities
Companies are setting up centers in the APAC region for predominantly testing and other support work (increase capacity for the core developers)
b) Acquiring For Talent And Capabilities Over the last 2 to 3 years leading companies such as Google, Zynga, Facebook, EA etc. have expanded their product portfolio and services portfolio by acquiring start-ups or smaller companies
In 2011, the total value of M&A deals in this domain was USD $18.8 billion, a 100% growth from 2010. The number of deals in 2012 grew by 16% compared to 2011.
c) Outsourcing Key Mobile Development To Niche Service Providers Companies are outsourcing high end work such as UI/UX design, prototyping etc. to niche service providers in locations within and outside of the US
Talent Neuron Viewpoint There is an intense competition for skilled mobile talent across the globe. In addition,
the dynamic nature of the industry is making it difficult for companies to find the right talent with updated skill sets. Changing job requirements, inability to meet compensation and benefits expectations and location related constraints are widening the supply demand talent gap. To mitigate the challenges, companies need to streamline their recruitment processes, provide on the job training to bridge skill gaps and aggressively use social media and mobile technology forums to reach further into the developer community
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Agenda
Top 25 Global Locations For Mobile Talent Talent and Skill Set Availability For Developing Mobile Applications in Top 25 Global Locations M&A Trends
Top Universities Which Offer Mobile Development Courses Key Challenges And Strategies For Recruiting Mobile Development Talent
Drivers
Rapid adoption of smart phones, expanding m-commerce market and adoption of enterprise mobility solutions is creating significant opportunities in the mobile app space
A Global smartphone users have crossed 1 Billion
Smartphone penetration vs. all mobile phones US Europe China 40% - 45% 50% - 55% ~ 60%
Mobile app usage was averaging about 1 hour each day in 2010, and it has now doubled to more than 2 hours
Global mobile data traffic is expected to increase by 66% annually for the next 5 years
70%
30%
Key Reasons for Enterprise Mobility Adoption Cost savings due to increase in operational efficiency, reduction in infrastructure costs etc. Increase in productivity levels Employee requests / needs Peer companies are offering it
Over 50% of the smartphone users in the US, Brazil, Germany, France and Japan make a purchase at least once monthly on their mobile handsets On the go convenience and special discounts and offers are top reasons for purchasing on a smartphone
Source: Talent Neuron research and analysis; IDC World Wide Mobile Phone Tracker 2012; Oracle White paper Future of Talent Management; Strategy Analysis; PwC
Apps Market
Revenues generated from Mobile and Tablet apps touched USD 25.2 Bn in 2012; Android applications accounted for about 58% of the mobile downloads
REVENUES IN 2012-13: USD 25.2 BILLION GLOBAL MOBILE AND TABLET APPLICATIONS MARKET: 2012-13
56 Billion Downloads
14 Billion Downloads
88 out of every 100 apps downloaded in 2013 is expected be from the Google Play Store or the iTunes App store
Apps Market
Apples App Store continues to dominate the app market; However with rapidly increasing shipment of Android handsets, Google Play is expected to dominate the app market in the coming years
100 50
In Million Units
200 150
190
Nearly 2 out of every 3 smart phones shipped were Android devices
61
20
Android iOS
18
8
Bada
8
Windows
0
iOS Android Windows Blackberry
Symbian Blackberry
2010
2012
2015
Blackberry
iOS
Android
Key Skills
Key Mobile Development skills are HTML development and Mobile App development for Android and iOS platform
% INCREASE IN JOB POSTINGS FOR KEY SKILLS IN 2013
Silverlight
Mobile VB (AppForge)
Android Market
eVB ActiveSync SOAP
bada SDK
Windows 8 SDK
JDE 3.7 4.01 C#
VB.NET
MS Embedded Visual Studio eVC
C/C++ Windows CE
MS SQL Server CE
iOS SDK
XML Flash
Android SDK
HTML 5
Satellite Forms
Cocoa Touch
Java, C/C++
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Source: Talent Neuron; These skills are based on Talent Neurons social media and job positing connectors and have been fla gged by intensity
Jobs Demand
Jobs Demand
Job postings for mobile developers have doubled over the last two years, while the number of registered developers have increased by only 13% which has led to a vast demand supply gap
ONLINE JOB POSTINGS FOR SMARTPHONE OS
Job Portal 1
The number of global registered mobile developers is expected to increase by 13% till 2015 in 000
CAGR 13%
Mobile development jobs offered on Elance.com, doubled between the first quarter of 2012 According to Indeed.com, demand for iOS developers is growing at 30% and is expected to increase further in the next 2 years LinkedIn job data indicates that the demand for Android developers is high at 52%
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Large organizations are leveraging global locations outside of the US like China, Israel and Europe to bridge talent gap Companies are setting up centers in the APAC region for testing and other support work
Over the last 2-3 years top companies such as Google, Zynga, Facebook, EA etc. have expanded their products and services portfolio by acquiring start-ups or smaller companies
Companies are outsourcing high end work such as UI/UX design, prototyping etc. to niche service providers
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Global Locations
COMPANY EA Twitter Google, Facebook, Disney, Gameloft, Whatsapp Google, Twitter, Flip board, Skype, Disney, EA, Pipedrive Imangi Studios Google, Twitter, Facebook, Foursquare Gameloft
San Francisco
Washington
New York
Tiburon
Mexico City Sao Paulo
EA
Google Google
Developers in Google center in Sao Paulo, focus on localizing products (such as Google maps) for the Brazilian market
Source: Talent Neuron Platform Note: List is not exhaustive
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Global Locations
Leading mobile development companies are increasingly leveraging emerging global locations in India and China for mobile development
LOCATION London Dublin Helsinki and Espoo Frankfurt Tallinn Whatsapp Beijing Shanghai Melbourne Bangalore Hyderabad
COMPANY Skype, EA Facebook Google, Rovio EA Skype Russia Opera Mini EA, Rovio EA Google, Zynga Facebook, EA
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Global Locations
(1/2)
APAC Cities 26%
Espoo
Dublin
Seattle Portland Bay Area San Francisco Toronto New York Austin
Warsaw
Talent in the APAC region predominantly work on Android platform and the availability of iOS and Blackberry developers in this region is low Over the last 2-3 years Finland, Tel Aviv and Moscow have emerged as key locations for mobile development
Source: Talent Neuron Platform Note: List is not exhaustive
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Global Locations
LEADERS
Bay Area San Francisco Seattle Austin Toronto London Tel Aviv Portland Sao Paulo Tokyo Munich Espoo Amsterdam Moscow Sydney New York
CHALLENGERS
Warsaw NCR
Bangalore
Shanghai
Beijing
EMERGING
0 25,000 50,000
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M&A
Acquisitions are mainly driven by talent gap; Large organizations are aggressively acquiring small application development firms for mobile development talent and expand their product portfolio
Company No of acquisitions since 2009 Locations of Acquired Companies Israel UK Bay Area Key Capabilities Added Through Acquisitions Mobile Advertising Photo sharing app Social gifting Location app HTML 5 Apps Mobile Advertising Server Technology Online video in Google Maps Touch typing in Android Facial recognition software Hand set technology Mobile payment service
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UK Bay Area UK Bay Area Australia USA China Germany USA China UK Argentina
Mobile crash reporting app Apps for iPhone and iPad iPhone, iPad game publisher Mobile games development studio Social network creator Social games Video games Music games Social games Video games Facebook developer Online magazines
18
EA
Zynga
10
Disney
10
Note: Non Exhaustive Source: Talent Neuron research, Company press releases, Talent Neuron Monitor, Talent Neuron Public Profiles Connectors
M&A
Mobile merger and acquisition activity increased significantly last year and is expected to maintain momentum in 2013 In 2011, the total value of the deals grew by 100% from 2010 and stood at USD $18.8 billion
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Leading developers
City
San Francisco Charlottesville San Francisco
Employee Strength
350+ 175+ 150+
Key Clients
GE, SAP, Intel, MIT, P&G, Coca-Cola, Knocking, TwitPic General Electric, Johnson & Johnson Stanford University, Genentech, Budlight, Safeway,BBC and Lonely Planet L'Oreal, Jay-Z, The New York Observer E&Y, Universal Pictures, Diageo (Guinness), NHS, Jaguar, Land Rover, Bombardier Ducati, Porsche, P&G, Hallmark, Malibu,Chicago Bulls, Bumped.In Johnson and Johnson , McKinsey, US Army, P&G, GeoEye, Euromonitor AT&T, Toshiba, Asics, The Mayo Clinic, Texas Instruments, Philips, Pearson, GM Luness, Rocket Matter, University of Notre Dame Microsoft
Brooklyn
Campbell New York
30+
150+ 30+
Chicago
Boston Redding Kochi Houston Scranton
150+
150+ 30+ 175+ 150+ 30+
TCS, Travel Leaders, diestel, Push legal, Gooru Mimo, CATA, Yumm Photos
Source: Talent Neuron research, Company Website Note: Focus on iPhone, iPad, Android
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Fresh Talent
With increasing demand for mobile development jobs, universities have started offering courses on mobile application development (1/2)
University
The Chang School-Ryerson University University Of Toronto San Diego State University Canada Stanford University
Course Offered
Mobile Application Developer Mobile Application Development Ipad/Iphone Mobile Application Development ;Android Mobile Application Development Iphone Application Development Course
University of Chicago
USA University Of California.Irvine The DePaul Johns Hopkins University Unoversity of Denver Oakland University University of Wisconsin whitewater UC San Diego Extension Digital Arts center
Microsoft and Nokia to invest $24 million in three-year AppCampus app development program in Aalto University at Finland
Source: Talent Neuron research; Talent Neuron University connector, University websites
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Fresh Talent
With increasing demand for mobile development jobs, universities have started offering courses on mobile application development (2/2)
Mobile App Development Program Mobile Application Development Course: Mobile Application Development MSc Mobile Computing Applications Mobile Applications Development Mobile Operating Systems And Applications Msc Mobile Device Application Development Mobile Application Development Msc Mobile Applications Msc Advanced Computing (Mobile Application Development/Web Syst Msc Mobile Application Design Mobile Applications Development
Finland
India
Graduate Certificate in Mobile Applications Development RMIT University-Australia Mobile Application Development
Deakin University
Australia Monash University Bharati Vidyapeeth University
Bachelor of Information Technology (Mobile and Apps Development) Mobile Applications Development B.Sc. Mobile Application Development
Source: Talent Neuron research; Talent Neuron University connector, University websites
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Companies need to adapt quickly and start using social media and mobile technology, fast track application processes and customized job descriptions to hire top mobile talent
Intense war for talent
Due to low availability mobile based skills, there is an high competition for talent among companies In addition, due to the dynamic nature of the industry finding talent with updated skill sets is becoming challenging
RECRUITMENT CHALLENGES
RECRUITMENT STRATEGIES
Source: Talent Neuron Talent Outlook survey 2013, Talent Neuron Monitor ; Simply Hired Mobile Recruiting Outlook 2013, Monster Thinking, CIO Magazine
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4701 Patrick Henry Dr. Building 7 Santa Clara CA 95054 Phone: +1-408-716-8432 21, Waterway Ave, Suite 300 The Woodlands TX 77380 Phone: +1-281-362-2773
THANK YOU
69 "Prathiba Complex", 4th 'A' Cross, Koramangala Ind. Layout 5th Block, Koramangala Bangalore 560095 Phone: +91-80-41127925/6
11, First Floor, Paras Downtown Center, Golf Course Road, Sector 53, Gurgaon 122002 Phone: +91-124- 4378211/13
info@talentneuron.com www.talentneuron.com
@talentneuron
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Appendix
Few Acquisitions
M&A
Acquisitions are mainly driven by Talent gap, Large organization are aggressively acquiring small apps developing firms to get mobile talent (2/2)
Year
2011 2011 2011 2012 2012 2012 2012 2012 2012
Company
Rel8ion Snaptu Strobe Instagram Karma Spool Lightbox Tagtile Glancee
Country
Seattle Israel San Francisco San Francisco USA San Francisco London San Francisco San Francisco
Function
Mobile Advertising Mobile app developer HTML 5 mobile apps Photo sharing app Social gifting Mobile bookmarking and sharing content Android photo sharing app Customer Loyalty app Location app
2013
Mobile crash reporting app Social TV analytics Apps for iPhone and iPads Mobile focussed security service
Shanghai, Wuhan Independent video game software developer Chicago Argentina Game developer Game developer
2010
Tapulous
Playdom Metaplace Inc Hive7 Rocket Pack Babble Media Acclaim Games
Palo Alto
San Francisco Bay Area New York California
Game developer
Online social network game Software platform for development of virtual worlds Facebook developer HTML 5 Gaming engine Online magazine Online games
26
Disney
Source: Talent Neuron research, Talent Neuron Monitor, Company press releases
Few Acquisitions
Year
2009 2010 2010 2010 2010
M&A
Acquisitions are mainly driven by Talent gap, Large organization are aggressively acquiring small apps developing firms to get mobile talent (1/2)
Company
AdMob Lab Pixies Agnilux BumpTop Zetwire Quiksee BlindType
Country
USA Israel USA Canada Canada Israel Greece
Function
Mobile Advertising Developer of personalized web gadgets Server Technology Desktop environment - Plans to revamp for new tablet Mobile payment service Online video in Google Maps Touch typing in Android
2010 2010
Feedback platform for business Facial recognition software Protecting viability of Android Location based ads
E-mail application Game developer Online social games Music games HTML 5 Gaming engine Mobile game developer Game developer Social Game developer VideoGame developer Video Game maker Console gaming experience in mobile iPhone, iPad game publisher Mobile games development studio Social network creator Developer of cross-platform mobile games Game Helsinki Game studio
27
Zynga
EA
Rovio
2012 2012
Source: Talent Neuron research, Talent Neuron Monitor, Company press releases
Mobile Patents
Mobile Patents
Samsung owns the largest portfolio of patents and was one of the companies with highest percentage of patents issued in the last 5 years
Mobile Patent Portfolio of leading players
100%
Panasonic
High Acceptance
RIM Samsung
Verizon
Medium Acceptance
50%
HP
Siemens Nokia
Low Acceptance
0 6,000 12,000
Cost
In Thousand
An increasing number of organizations are looking for professionals with experience in e-commerce vehicles and in particular mobile products Salary paid for Android developers are slightly higher than iOS developers due to increasing demand Companies are being forced to increase wages, retrain software engineers, outsource work to third-party developers to meet the demand
Source: Talent Neuron Platform, Talent Neuron Surveys on Salary 2011, 2012
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4701 Patrick Henry Dr. Building 7 Santa Clara CA 95054 Phone: +1-408-716-8432 21, Waterway Ave, Suite 300 The Woodlands TX 77380 Phone: +1-281-362-2773 69 "Prathiba Complex", 4th 'A' Cross, Koramangala Ind. Layout 5th Block, Koramangala Bangalore 560095 Phone: +91-80-41127925/6 11, First Floor, Paras Downtown Center, Golf Course Road, Sector 53, Gurgaon 122002 Phone: +91-124- 4378211/13
THANK YOU
info@talentneuron.com www.talentneuron.com
@talentneuron
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