Consolidation Creating Better Equipped Solution Providers in Language Translation and Localization Market, Says Allied Business Intelligence Report.

Business Editors/High-Tech Writers

OYSTER BAY, N.Y.--(BUSINESS WIRE)--Sept. 12, 2002

As vendors providing translation, localization and globalization services consolidate through acquisitions and partnerships, customers are being offered solutions to global directives with increased value added services.

Many vendors in this space have been swallowed up by competitors, or by those who wish to extend their offerings, in the past 18 months. This will, in turn, mean better value for customers who are looking to broaden their reach across borders.

Globalization of the economy, multilingual Internet subscribers, the increasing growth of the Internet, ecommerce expansion and rising web content will all drive the growth of the industry. The fastest growing segment of this market, according to Allied Business Intelligence (ABI), will be for website localization, which is expected to grow in revenues from $499 million in 2001 to $3.1 billion in 2007, a compound average annual growth (CAAG) of 36%.

"The dampened economy has slowed some organizations' global ambitions and expectations have been shortened. However, once over 'the hump' many technology companies will be playing catch-up to market their products and services to an ever-increasing audience," said Laraine Tunick, ABI Analyst and report author. "With Internet access increasing in nearly all geographic sectors, web presence is carrying many companies to markets never before envisaged. Organizations need to assess how they want their global image to be received through planning and forethought."

According to the findings in the ABI study, "Language Translation, Localization and Globalization: World Market Forecasts, Industry Drivers and eSolutions," by the end of 2007 the worldwide human translation market will account for $11.5 billion, and the machine translation for $134 million of this growing marketplace. The software and web localization markets will respectively account for $3.4 billion and $3.1 billion by 2007.

The current status of the industry, its trends, adoption rates, technology advantages, target industries, major participants and forecasts for the worldwide markets are detailed. Internet penetration, and its impact on the growth of the translation industry, is also forecast. Issues over translation speed versus accuracy are discussed and evaluated. The relationship between localization and language translation is described for these overlapping segments of the market.

Allied Business Intelligence Inc. is an Oyster Bay, NY-based technology research think tank that publishes research and technology intelligence on the wireless, broadband, electronics, networking and energy industries. Details can be found at www.alliedworld.com or by calling 516-624-3113.