India has become an outsourcing hub for animation films because:
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India has a vast base of English speaking workforce: Animation, which requires familiarity with the English language, benefits when the work is outsourced to India. A number of animation companies in the country are also creating skilled manpower for the animation market through various training programmes.
- Presence of good studios: India has the second largest entertainment industry in the world, after Hollywood. Animation studios in the country provide a large supply of low-cost, high-quality software engineers. A number of Indian animation companies have set up hi-tech studios (equipped with state-of-the-art hardware and software) to execute overseas projects.
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Low cost of animation services: The main reason why foreign entertainment firms are flocking to India is the cost advantage the country offers. For instance, in the US, animators can cost about $125 an hour; in India, they cost $25 an hour. Toonz Animation offers animation at 25 per cent to 40 per cent lower rates than other Asian studios and much lower than those of American studios.
The total cost for making a full-length animated film in America is estimated to be $100 million to $175 million. In India, it can be made for $15 million to $25 million.
C K Prahlad, an animation consultant based in Bangalore, says the biggest advantage is the cost factor. "Indian animation companies are charging extremely low rates compared to other countries. That is attracting the Hollywood companies to outsource their animation film series to the country," he said.
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