Financial news and information provider Reuters Group said on Thursday it planned to make Bangalore its biggest information-gathering hub, employing up to 1,500 people, or 10 per cent of its total workforce.
Staff would be mostly data and technical employees, Reuters executives said. “What we are creating here is the largest single hub of information gathering within Reuters,” said Geert Linnebank, the company’s editor-in-chief and head of content operations.
Reuters, which competes with Bloomberg LP, Thomson Financial and others in delivering news to financial clients, has already hired 340 employees to compile and analyse data and expects to have 400 by the end of this year, he said.
Shares in Reuters rose 2 per cent, tracking a buoyant media, technology and telecoms sector as investors sought those stocks most likely to outperform a rising market.
"The market's going up, so you've got to buy the high-beta stocks, like the media and telecoms," said a dealer.
Traders said that positive comment on the financial data industry from Thomson Financial earlier in the week had also boosted shares in Reuters.
The Bangalore office would employ 1,000 by the end of 2005 and between 1,200 and 1,500 over the next year and a half, Linnebank said.
Reuters employs 14,700 people. Bangalore is set to become the biggest of four global data centres, with about 750 staff, or 50 percent of its expanded data-gathering group, to be located here by the end of 2005, said Justin Abel, the company's head of data operations.
Reuters, which is headquartered in London, set up shop in India in 1866 to provide news and commodity prices to European markets. The company now employs about 2,300 journalists around the world.
It plans to have up to 40 journalists in its Bangalore newsroom, a number that could increase over time, said David Schlesinger, global managing editor of Reuters. Twenty journalists already are working on editorial reference projects and coverage of small- and medium-sized U.S. companies.
"It is difficult to say exactly where we will end up," Schlesinger said. "I am sure it will grow from there."