Animation Production in India – A Global Opportunity for Outsourcing

India’s animation industry is booming. Overseas entertainment giants like Walt Disney, Imax and Sony are increasingly outsourcing cartoon characters and special effects to India. Other companies outsource animation for commercials and computer games from India.

So what makes India a center for animation? Why is the sector experiencing exponential growth? To do this, let’s take a look at what makes India shine in the world of animation.

India has a huge English-speaking workforce: animation that requires familiarity with the English language benefits when work is outsourced to India. A number of animation companies in the country are also producing skilled labor for the animation market through various training programs.

Presence of good studios: India has the second largest entertainment industry in the world after Hollywood. Animation studios in the country offer a wide range of low-cost, high-quality software developers. A number of Indian animation companies have set up high-tech studios (equipped with the latest hardware and software) to undertake overseas projects.

Low cost of animation services: The main reason why foreign entertainment companies are flocking to India is the cost advantage that the country offers. For example, in the US, animators can cost around $125 an hour. in India they cost $25 an hour. Toonz Animation offers animation at 25 to 40 percent lower prices than other Asian studios and much lower than American studios.

A new outsourcing fever has gripped India.

Global entertainment majors like Walt Disney, Imax, Warner Brothers and Sony are signing huge deals with Indian animation companies.

And cities in India such as Mumbai, Chennai, Bangalore, Hyderabad, Bhopal and Trivandrum have emerged as the major animation centers in the country.

The total cost to produce a full-length animated film in America is estimated to be between $100 million and $175 million. In India, it can be made for $15-25 million.

Major US animation studios and producers recognize this huge cost advantage that India offers.

“Due to changing viewing habits, broadcasters or broadcasters are forced to reduce license fees. This reduces the volume of work.

In this situation, India’s advantage of low production costs could be a boon to the domestic animation industry,” said Margaret Dean, head of Sony Pictures’ Family Entertainment Group and consultant to various animation studios in the US, during a recent visit to India.

According to the National Association of Software and Services Companies (Nasscom), the total revenue of the animation production services sector in India in 2004 was estimated at US$200-300 million.

Nasscom estimates that the animation sector has grown by over 20 percent in the past year. “Demand for animation production services from India is growing with the emergence of an organized animation production sector with cutting-edge labor required for international television program production at a much lower cost,” states a Nasscom report.

Last year, a Nasscom study of the animation industry showed that the global animation production market is poised for major growth. The study, which is based on multiple statistical market forecasts from segments such as industry sources, Pixel Inc and Arthur Andersen (entertainment and media sector study), predicts that the global animation market would generate revenue of US$50-70 billion per year.

But which countries does India compete with in animation outsourcing?

“First and foremost, we compete with China. But here, too, our quality standards are much higher than with Chinese studios.”

And cities in India such as Mumbai, Chennai, Bangalore, Hyderabad, Bhopal and Trivandrum have emerged as the major animation centers in the country.

A number of companies in these cities have taken to the outsourced world of animation and special effects. These include Toonz Animation, Crest Communications, Maya Entertainment, VRS RED Entertainment, Silvertoon Studio, UTV Toons, Zee Institute of Creative Arts, 2NZ Studios, Pentamedia Graphics, Prasad Studios, Acropetal, JadooWorks, Color Chips and Heart Animation.

Experts say the future of animation in India is bright. “India has great stories, good cartoon characters from mythologies, good artists and technicians. Above all, we offer a competitive price that nobody can match.”

Thanks to Vivek Raj Shivhare | #Animation #Production #India #Global #Opportunity #Outsourcing

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