MOSCOW, April 4 /PRNewswire/ --

- Russian Minister of Information Technologies and Communications to Speak in London

Russia is poised to become the next global leader in outsourcing as dramatic industry growth and a groundbreaking government initiative put the IT industry on an accelerated development track. The initiative will systematically leverage Russia's historical technical superiority to become the main destination for global IT giants.

At 25% annual growth and with software exports growing at 40-50% annually, IT is already outpacing every other sector of the Russian economy. With over 250 companies already active in offshore software development, Russia's outsourcing industry is expected to reach US$2 billion in the next two years.

The government will add impetus through a comprehensive tax and legal reform as well as through creating free economic zones and a national network of technoparks to replicate the success of India's Bangalore and Hyderabad. The government is committing US$650 million over the next five years to supplement the increasing flow of private investment.

Russia is rapidly establishing a niche in providing highly complex, value-added, innovative solutions that are lower cost and faster to market than those of their Western counterparts. Global giants such as Intel, Boeing, IBM, Cisco, Motorola, Dell, Siemens, Microsoft, and Hewlett Packard have long established their presence in Russia, benefiting from a strong pipeline of talented programming and engineering cadre.

"Our vision is for Russia to become a global center of innovation and entrepreneurship, a place where radically new, break-through technologies are developed," says Leonid Reiman, Minister of Information Technologies and Communications. "We want Russia to be a place where 'the next big thing' is born."

Minister Reiman will put the government's plan on foreign display for the first time at the 8th Annual Russian Economic Forum in London April 10-12.

Maria Drinberg for Ministry of Information Technologies and Communications of Russia, +7-095-102-9847, or m.drinberg@minsvyaz.ru NOTE TO EDITORS: A press conference is scheduled for 11:00 a.m. April 12 at the Queen Elizabeth II Conference Center. Minister Reiman will be available for interviews upon request.