Marlabs Inc. unveils India-centric global growth strategy

Bangalore, December 20, 2006: Marlabs Inc., a fast growing provider of technology services and solutions to select verticals is betting on India to fuel its growth globally leading to exponential expansion of its India footprint. The company announced at a press conference today that its investments in India will exceed Rs.100 crores and will go primarily into the setting up of two new, state-of-the-art campuses in Bangalore and Mysore besides a Global Training and Development Center in Mysore. The India headcount will rise as well from the current 400 to over 2000 in the next three years. The company has since acquired land and necessary approvals and construction is scheduled to start soon. The investments in India will be funded through internal accruals.

Marlabs India is expanding on other fronts as well. The company is setting up separate practices for Oracle Applications and Business Intelligence. The company's BOT-based ODC for Epsilon Interactive is growing as well. The Indian operations will also shoulder increasing responsibility for MCOCentral, Marlabs's flagship product for the healthcare vertical. The Professional Services arm of Marlabs Inc. will also be growing on two counts - expansion of its domestic customer base and in its share of the global revenues of Marlabs Inc.

Elaborating on the rationale behind the India expansion, Sunil Nambiar, Head Global Delivery, Marlabs India, said, " There is a key difference in the way Marlabs has evolved in that its early focus was only on being closer to the customer in the US and delivering to them from US itself. This strategy has paid rich dividends in the form of deepening relationships with growing number of large customers who are now extending their mandate for Marlabs. We believe that the right mix of onsite and offshoring is the one needed for us to execute these mandate well and make our growth plans a reality. Also, as we are only doing product development, application development and support in India, which implies significant domain knowledge and IP would be built in India as well."

In his comments, Vignesh Hebbar, Associate Vice-president, Professional Services, Marlabs India, said, "We expect the Professional services market in India to grow rapidly and mature in the next few years and being a forerunner in this space, we will look to ride that growth. It is this projected growth and the continuing needs to train our lateral hires that has led to the Global Training Center at Mysore. The increased footprint in India, growth in India's role and contribution to global operations, the increasing customer base for professional services and the global training center in India mark an inflection point in Marlabs presence in India."

Marlabs has since acquired land in Mysore and Bangalore for its campuses. The company is set to have its third facility in Bangalore for Global development over and above the existing two to accommodate the headcount growth till the new campus is ready. Besides these three facilities the company also has a separate facility for Professional Services in Bangalore. All the four will be integrated into the new Bangalore campus which will be ready by late 2008. In Mysore, the company has leased a 14000 sft. premises which will be inaugurated later this week. This is only an interim facility and will be integrated along with the global training and development center into the new campus in Mysore. Both campuses together will have the capacity to house 3000 professionals.

Marlabs India is a wholly owned subsidiary of Marlabs Inc. and has been operational since 2003. The company currently has three facilities in Bangalore in India employing over 400 professionals. Marlabs Inc., USA is a US$75 million fast-growing provider of a full suite of solutions and services for the healthcare, insurance, real estate, media and entertainment verticals. It partners leading technology firms such as Microsoft, IBM, Oracle and Sybase to ensure cutting edge technology solutions for its clients. The company has development centers in Philadelphia and Austin, TX besides Bangalore. With a clientele that includes Fortune 500 and 1000 companies, most of who consider Marlabs their partner of choice, Marlabs' growth has been consistent. Marlabs has been named Inc. 500 company, 5 years in a row, has been named by Deloitte & Touche as among the fastest- growing technology companies in the USA and ranks among New Jersey's Fast and Finest 50 companies. For further details please visit www.marlabs.com. __________________________________________________________________________________________­­­­­­­_______________________________________