Global Tech-Talent Migration Report

April 2019

22

What the leaders have to say about tech talent migration?

“For us to be successful, Best innovations come from the most surprising places. Emerging Europe hasenormous innovative potential. We are looking for ways to keep talented people in their home countries. Webelieve that the countries of Central and Eastern Europe, thanks to a very good education system, talentedstaff and openness to new technologies, are in a particularly privileged position to develop the potential of thedigital economy”

“As a company, Microsoft believes in a strong and balanced high-skilled immigration system.We also believe in broader immigration opportunities, like the protections for talented and law-abiding young people under the Deferred Access for Childhood Arrivals (DACA) Program, oftencalled “Dreamers”. As an immigrant and as a CEO, I've both experienced and seen the positiveimpact that immigration has on our company, for the country, and for the world”

“If I were a world leader, my goal would be to monopolize the world's talent. I'd have a veryaggressive plan, not to just let a few people in, but I'd be recruiting. Apple believes deeplyin the importance of immigration -- both to our company and to our nation's future. Applewould not exist without immigration, let alone thrive and innovate the way we do”

“We know at this point that brilliance is pretty evenly distributed around the world, but access to thattalent and the ability for that talent to tap into the global ecosystem is very, very different. Having thebest engineer on their team be a 26-year-old woman from Nairobi is a really effective way to help [thetech industry] see that the world looks a little bit different than they may have imagined and that that'sOK”

-Sundar Pichai, CEO of Google

-Satya Nadella, CEO of Microsoft

-Tim Cook, CEO of Apple

-Jeremy Johnson, CEO of Andela

Every country in the world wants to create a Silicon Valley and attract skilled tech talent

33

GLOBAL TALENT MOVEMENT MYTHS AND TRENDS

United States & Canada

Ø US Tier-2 and Tier-3 locations are experiencing high tech talent growth due to expanding footprint by Tech giants, start-ups and other Fortune 500 companies

Europe India and China

“Tech talent in China is migrating towards further West”

“In United States, West Coast attracts top tech talent”

“Talent migration towards Eastern Europe is not significant”

“Tech talent quality in Tier 2 locations is not catching up with respect to Tier 1 locations”

MYTHS

TALENT MOVEMENT TRENDSØ 58% of total international migrants belong to middle income group, whose population size is growing at an accelerated pace. Better lifestyle, education of

future generations and upgraded lifestyle are few major push factors for middle income group shifting abroad.

Ø Knowledge walls are breaking across borders with increase in online learning platforms and high flow of students to pursue higher education abroad. ~81Mn registered students on online learning platforms (MooCs) globally in 2018. ~1.8 Mn International Students studying in USA, UK, Australia, Canada, Japan globally in 2018.

Ø Limited tech talent movement is seen in Western regions and high movement within emerging “Megalopolis” regions near inland areas of East-Coast Tier-1 cities. This is primarily due to increasing land cost in East coast region

Ø UK and Ireland are seeing the highest decline in inbound tech talent with the headcount reducing by 3.4% and 2.8% respectively

Ø In India, Vadodara and Ahmedabad together account for 49% installed tech talent among Tier-II cities, given that many GICs are setting up centres and start up ecosystem is also growing

Ø Germany’s sharp rise in developers, outstripping UK, is a combination of STEM students and immigration. It is pumping venture money into its fast-emerging tech ecosystems

Ø Netherlands and Spain has caught up in terms of education of entrepreneurship, software engineers boosting tech ecosystem

Ø A number of US companies are expanding their operations in Canada, where hiring foreign nationals is much easier. Majority of US Tech talent is migrating to Canada with the US restrictive approach towards issuing visas

44

Tech Talent Migration : Europe and Canada are seeing major tech talent inflow from Asia, Africa and North America

ASIA

EUROPE

NORTH AMERICA

AUSTRALIA

AFRICA

LATIN AMERICA

• Australia’s managed migration programme targets people with certain demonstrable skills and grants them permanent residency in the country

• 56% of Australia PR immigrants are from Asia

• Companies like Andela, trains software developers and then places them in salaried position in firms across Asia, Europe, the Middle East, and US.

• Latin America government is making huge efforts to become and IT outsourcing hub with programmes such as Program AR, Plan Vive Digital etc

• US is protecting innovation through strong IP laws.• Majority of US Tech talent is migrating to Canada with the

US restrictive approach towards issuing visas

• Canada’s "Express Entry" programme allows skilled workers to apply to immigrate to Canada.

• Tech Talent is migrating from UK to Germany after Britain exit from European Union

• IT talent in Ukraine is relocating to USA & Canada due to territorial complicacies in Ukraine

• French President Macron’s recently asked its IT specialists to relocate to Paris

GLOBAL TECH TALENT MOVEMENT• Protectionist mentality of US, Australia and Singapore, majority of tech talent from India is moving to Canada, Europe, Middle East and Japan

• Centre of China and Globalization is implementing policies such as guaranteed loan for start-ups, lowering threshold for IP financing etc for its Chinese residents to return back to country

55

Tech Talent Movement: Canada, Germany, UK, France, Australia are few top countries with positive net migration of tech talent

Brazil

Canada

China

France

Germany

IndiaItaly

Japan

Russia

Mexico

Singapore

UK

United States

Australia

LowHigh

Positive Negative

Net tech migration

AVAILABLE TECH TALENTHigh

NYC and Boston

• Top representation from

Indian and Chinese

students in Pursual of

higher education in instate

such as MIT, Harvard and

NYU

• Global Fintech hub in NYC

and mature research

ecosystem for high end

engineering in Data

science, Biomedical in

Boston attract global talent

Austin, Dallas and Charlotte

• Local talent movement is driven largely due to

American tech giants, Banking giants and retailers

expanding product development and IT teams in

Austin and Dallas .

• Indian SPs have expanded near shore talent due to

cost advantage and post implementation of HI-B

Visa

Ontario and Toronto

• With the expansion & establishment of offices of Tech

Giants Google, Microsoft, and Uber at Ontario and

Toronto, Tech Talent started to migrate to Canada.

• Advanced Tech courses & collaborations between

universities are attracting Tech Talent from China &

India.

Berlin and Munich

• Tech Talent is migrating from United

Kingdom to Munich & Berlin after fall of

pound value & Britain exit from European

Union.

• Berlin’s sharp rise in developers,

outstripping UK, is a combination of STEM

students and immigration.

Chongqing and Hubei

• Megalopolis and emerging Tier

2 city clusters like Chongqing,

Hubei, Dongguan in proximity of

top tech cities are causing talent

migration towards west.

• Companies Such as Huawei,

Foxconn, Xiaomi are setting up

centers in Tier 2 cities

influencing the talent to

relocate

Paris

• Introduction of Immigration

visas (uncapped) for Tech

workers to assist in the

growth of start-up

ecosystem.

• The onset of Brexit in 2018,

has resulted in Paris

becoming the single biggest

technological hub in EU

Sydney & Melbourne

• Sydney & Melbourne have

thriving start-up ecosystems in

FinTech & AdTech space.

Microsoft brought its intensive

program for start-ups to Sydney.

• Australia is among top-5

countries in blockchain & AI-

related patents & the New

Global Talent Visa Scheme is

attracting tech talent from India.

Amsterdam

• Amsterdam is emerging as a tech hub. Many of the Silicon

Valley companies including Google, Uber, Salesforce, and Cisco

have setup centres in the city. In 2018, city’s start-ups

received funding of €194m - which is 76% of the Netherlands’

total start-up funding.

66

Factors affecting talent migration: Democratization of innovation, government policies & socio-economic factors are primarily affecting internal & external migration

Democratization of Innovation

High

FACTORS GEOGRAPHICAL IMPACT

Low

Top 3 factors impacting tech talent movement

qe-learning, Exchange programmes, MooCsEx: ~7mn online enrolments from India in 2017

q Many prestigious universities such as Stanford, Princeton, University of Michigan are offeringcourses online. MOOCs has helped in addressing the quantity and quality education gaps bysupporting and replacing traditional classrooms. India has the second largest MOOC user base afterthe US. The talent pool thus upskilled is moving from Tier-II cities to Tier-I cities.

qScholarships to International StudentsEx: Rhodes Scholarship

q Countries such as USA, UK and Australia are attracting International students by providinggovernment-funded & university-specific scholarships.

Govt. Policies & Political Scenario

qStringent Visa & Work-permit rulesEx: New H-1B rules in the US

q Canada, under its more flexible Global Talent Stream system, is attracting immigrant talent from theUS. Major US tech firms like Amazon, Microsoft, Salesforce, Uber, etc are expanding into Canada toaccommodate their international talent.

qExit from Regional BlocsEx: Brexit

q As the UK is tightening its immigration policy, Germany, France and the Netherlands are increasingtheir share in attracting non-European tech-talent. Germany is the top destination for intra-European tech talent, followed by Spain, France & Switzerland

qPolitical unrest & instabilityEx: Middle-east

q Political instability in the Middle-east accelerated the migration of talent pool. More than50% of Arab tech talent has moved to OECD countries (as of 2018)

Socio-economic FactorsqHigh income-tax rates

Ex: In Norway, Australia, Canada, UK q USA has lower tax rates compared to other developed countries- this acts as a major pull factor for

talent pool to prefer working in the US (esp. from Canada near by)qHigher wages

Ex: Migration from India to US, UK, Canada, etcq Developed countries (US, UK, Germany, Australia, etc.) offer salaries that are 2-4 times the income

earned in India for similar roles. Higher wage is a pull factor for tech talent migration fromdeveloping countries to developed countries

Impact of factor on tech talent movement

77

4 % $147 Bn

Democratization of Innovation : Around 2020, the middle class population, which is increasingly contributing to the migrant talent across the globe, will become majority of global population for the first time ever

5.3 Bn

3.8Bn

2017 2030

88 percent of the next billion entrants into the middle class will be in Asia

380 MnIN INDIA

350 MnIN CHINA

130 MnIN REST OF THE WORLD

210 MnIN REST ASIA

Ø Growing global middle class population

Ø Accelerated remittances growth to middle income countries (2018)

Remittances to Middle Income countries

Major remittance recipients -China & India

Better career opportunities58% of total international

migrants belong to middle income

group

2018

Better education for future generations

Upgraded lifestyle and experience

• The rise of middle class was a factor allied to the IT revolution in developing countries.• Prime technology related educational opportunities had become too expensive from premier

universities. So, a lot of smaller institutes as well as online educational forums mushroomed across countries with a promise of lucrative jobs abroad and bring back money to home country.

• Mutual funds, retail equity trade and other non-banking financial instruments has seen a phenomenal growth, so has the consumerism culture of the country.

• Growth in disposable income and credit culture put televisions, mobile devices, automobiles, real estate etc. well within the reach of the masses thus stimulating demand.

88

Democratization of Innovation : Knowledge walls are breaking across borders with increase in registration of students in online learning platforms (MooCs) globally in 2018

Charles Severance , Professor, CourseraUniversity of Michigan School of Information

“I graduate about 900 new python programmers every week and 20% of them are in India. That means I personally graduate 180 new python programmers every week in India.”

Top 5 Countries by learners base

30% Enrolments in 2018 alone

81M Enrolments Globally

9,400 Courses

800+ Universities

30 million

14 million

9.3 million

8 million

7.1 million

US ~7.8 Mn

India ~3.4 Mn

China ~2.3 Mn

Mexico ~1.7 Mn Brazil ~1.6 Mn

MOOCS Global Enrolments (2011-2018) Highest Enrolments from India

99

University of BirminghamIoT, Big Data, AI/ML, RPA

IISC

University of NottinghamAI/ML, RPA, Bioinformatics

Beijing Jiotong University

Beijing Jiotong University

Software Engineering, Industrial Engineering

Setsunan University

Democratization of Innovation : ~1.8 Mn International Students studying in USA, UK, Australia, Canada, Japan globally in 2018

AUSTRALIA

INDIA

CHINA

VIETNAM

~36K

~89K

~10K

USA

INDIA~94K

CHINA~216K

CANADA~20K

MEXICO~12K

CANADA

INDIA

CHINA

~13K

~42K

JAPAN

CHINA

VIETNAM

~53K

~12K

~180K

~700K

~380K

~133K

Penking University University of MelbourneMathematics and Statistics, Environment, Computer ScienceIIT, Bombay Monash UniversityAdvance Computational Engineering, Simulation and Manufacturing, Nanotechnology, Stem Cell

~351K

IISC, Bengaluru

Neural Engineering, Computational Neuroscience,

Center for Sensorimotor Neural Engineering, Seattle

IIT, Madras Computer Engineering, Data Science, AI/ML

Concordia University

University of Waterloo

Advanced Robotics, Automotive, AI/ML Beijing Jiotong University

UNITED KINGDOM

INDIA

CHINA

USA

~12K

~62K

~10K

University of Florida

Intelligent Machines, Robotics, Biomedical Science

University of Windsor

Imperial CollegeAI/ML, RPA, Aeronautics, Earth Sciences

MIT

Total Immigrant students in the location

~XX

Total Immigrant students from

these locations~XX

1.8 Million International Students

1010

Democratization of Innovation : Top leadership in majority of tech giants is from immigrants

of companies in the 2017 Fortune 500 (List) were founded or co-founded by an immigrant or the child of an immigrant

~43%

Over 25%Immigrants Form new U.S.

businesses, driving entrepreneurship In major States

More than half of heavily funded U.S unicorns have an immigrant

as a founder or CEO

IMMIGRANT EXECUTIVES

Sundar PichhaiCEO, Google; Board member of Alphabet

Satya NadellaCEO, Microsoft

Safra CatzCEO, Oracle

Jeff BezosCEO, Amazon

Steve ChenCo-Founder, Youtube, AVOS

Driving major AI innovations such as Google Home, Google Duplex, Google AI, Tensor etc

Satya transformed AI, VR landscape by innovations such as Holoportation, Microsoft Pix, Skype Translator

Santa aims to initiate innovations in Cloud Technology such as Oracle Autonomous Database Cloud, & Oracle Infinity

Redefining Tech landscape by new initiatives such as Amazon Flex, Autonomous Car, Amazon Prime Air, Amazon Locker

Steve spearheads AVOS, a Technology company driving innovation in developing Apps in real-time.

1111

Govt. Policies & Political Scenario : Favourable ‘Immigration policy changes’ for techies and entrepreneurs are highly impacting talent mobility in countries like Canada and France

Affects / Outcomes Tech Talent Migration Index

Favourable VISA Policy

POLAND

FRANCE

ESTONIA

UNITED KINGDOM

CANADA

NEW ZEALAND

“Start in Poland” Program: A simplified Visa route for foreign tech startup Entrepreneurs with special legal, administrative, and financial benefits

French Tech Visa : Fast-track procedure for international tech talent to obtain a residence permit known as the "Passeport Talent" ("Talent Passport")

UK Startup Visa : Faster Visa process for tech entrepreneurs and their families coming to UK with a provision of permanent residency upon 5 year completion

Express Entry program : Smooth and hassle free application process for tech immigrants for Permanent residency in Canada

Global Impact Visa (GIV) : A three-year work visa that offers a path to permanent residency for entrepreneurs, investors and tech start-ups

Startup Visa : Initiative to establish startup in Estonia by Non EU tech migrants with a chance of Permanent residency without any “65,000” investment required in Estonia according to general “Schengen” VISA scheme

GIV spots in New Zealand increased from 100 to 400 in last 3 years

Poland

France

Estonia

UK

Canada

New Zealand

Canada Express Entry profile submissions increased from 200 K to 600 K in past 3 years

Estonia had received 325applications from 47 countries in 2017 alone by Non-EU nationals to work for the Estonia’s startups

Note: ‘Tech talent Migration index’ indicates the net influx of talent to the countries depending on impacting factors like attractive government policies, faster and better visa approvals and location preference of ‘Immigrants’ for better sustainability and opportunities

Migration indicator LowestHighest

1212

329K

254K 248K

160K145K 140K 134K 133K

114K99K 95K 91K 85K 84K 79K 72K 70K 69K 69K 59K 54K 53K 52K 51K 50K 49K 45K 44K 39K 38K 36K 35K 35K 31K 31K 31K 30K 29K 26K

-10%-8%-6%-4%-2%0%2%4%6%8%10%

Bay

Are

a

New

Yor

k

Was

hing

ton

Dal

las

Seat

tle

Chic

ago

Atl

anta

Los

Ang

eles

Bos

ton

Den

ver

Ho

usto

n

Min

nea

pol

is

Det

roit

Pho

enix

Phila

delp

hia

Bal

tim

ore

San

Die

go

Aus

tin

Ora

nge

Cou

nty

Ral

eigh

Dur

ham

Char

lott

e

St. L

oui

s

Kans

as C

ity

Port

land

New

ark

Colu

mb

is

Tam

pa

Pitt

sbur

gh

Sacr

emen

to

Orl

ando

Cinc

inat

i

Clev

elan

d

Ind

iana

polis

Salt

Lak

e Ci

ty

Lon

g Is

land

San

Ant

oni

o

Milw

auke

e

Nas

hvill

e

Nor

folk

0

50000

100000

150000

200000

250000

300000

350000

Employed tech Talent

Tech Talent Growth Rate (2016-18)

Top 10 Locations Tier2 locations and Long Tail

United States : US Tier-2 and Tier-3 locations are experiencing high tech talent growth due to expanding footprint by Tech giants, start-ups and other Fortune 500 companies

Tech Talent growth across top tier-1 cities is very low due to maturing ecosystem of Start-ups and Tech giants. Tier-2/3 locations are experiencing high growth due to expanding footprint of Software and IT centres and hitech start-ups

Avg. growth rate for Top 10 locations 0.9% Avg. tech talent growth rate for Tier-2 location and long tail 3.5%

Ava

ilabl

e te

ch ta

lent

cou

nt (2

018)

1% 2% 4% 2% 2% 3% 3% 2% 2% 2% 1% 3% 6% 2% 1% 2% 2% 3% 1% 1% 2% 5% 1% 1% 1% 1% 4% 1% 2% 9% 1% 4% 1% 0% 2% 1% 1% 2% 2%

% Positive Net Migration rate% Negative Net Migration rateNet Migration rate

1313Note : DRAUP’s proprietary talent module was used to analyse jobs by job roles and skill type across locations

San Francisco

Austin

Facebook employed 700 employees for its new centre in Austin

Apple is spending $ 1 billion to build its new campus and planning to hire 10,000 employees

Walmart has opened an engineering hub to develop emerging technologies to use across the company’s global operations

Chicago

Boston

Facebook is planning to open its new office in Chicago and it is expected to hire 500 employees

Amazon is planning its second Head quartersin Chicago and it is planning to hire 50,000 employees

Amazon is starting its 4th centre in Seaport District and it is planning to hire 2,000 employees by 2021

VMware has leased 37,948 sq. at the Lafayette City Centre in Boston

SEATTLE

Los Angeles

Net Inflow Migration

Net Outflow Migration

2.9%Austin

4.5%Tampa

2.2%Phoenix

2.2%Nashville

1.5%Dallas

0%Kansas

-0.7%Chicago

-0.3%Boston

US -Tech Giants Migration: Tech companies such as Google, Microsoft and Amazon are optimizing engineering teams by distributing product development in Tier-2 cities and sustaining high end engineering talent in West-Coast

1414

US - BFSI Technology Talent Migration: Finance companies are migrating their Technology Talent from cities like New York & Chicago to cheaper Tier 1 & Tier 2 cities like Jacksonville, Salt Lake city, Chandler (Mid and Back-office functions)

Note : DRAUP’s proprietary talent module was used to analyse jobs by job roles and skill type across locations

CHICAGO

Top locations for BFSI companies to open their Technology centres

NEW YORK REGION

Kansas

Philadelphia

Jacksonville

Charlotte

BloomingtonUrbanaChampaign

Minneapolis

PIMCO has opened its 3rd US office in Austin, to support the growth of its business functions like Technology, Marketing and Talent Management

Salt Lake City

Jacksonville & Tampa

Goldman Sach’s 4th largest office is a low-cost center for 14 of the 16 divisions of the company - Operations ,Finance, Compliance , Research, technology, etc (Except Trading, IB and Wealth/Asset Management )

Credit Suisse is expanding its footprint in TampaDeutsche has moved its tech talent in JacksonvilleCiti has 4 times the openings in FL as compared to NY and NJ.

Austin

Fidelity has invested in a campus in RTP which can accommodate as many as ~5K employeesDeutsche Bank has ~1K employees working in Cary for Software applications for Finance OpsCredit Suisse employs ~2000, around 40% in technology in Raleigh and ~1200 in RTP area

Durham / Research Triangle Park

Tampa2.9%Austin 1.5%Tampa

Jacksonville

0.1%Salt LakeCity

1.5%Durham/RTP

% Positive Net Migration rate

1515

US - Millennial migration patterns also show the movement towards Tier 2 locations such as Tempe, Dallas, Minneapolis, Nashville

Note : DRAUP’s proprietary talent module was used to analyse millennial moments across various cities

City Moved In Moved Out Net MigrationSeattle 29,628 22,326 7,302

Columbia 13,352 6,415 6,937Sacramento 16,181 9,501 6,680Minneapolis 21,758 15,229 6,529Jacksonville 23,327 16,973 6,354

Newport News 11,664 5,997 5,667San Jose 19,943 14,447 5,496Denver 40,647 35,541 5,106Norfolk 18,603 13,606 4997

Virginia Beach 19,122 14,138 4,984Charlotte 23,390 21,463 4,927Nashville 23,839 19,358 4,481Cincinnati 12,249 7,829 4,420

Overland Parks 8,015 3,916 4,099Louisville 12,657 8,765 3,892Arlington 10,806 7,015 3,791

Fort Collins 11,037 7,285 3,752Oakland 13,863 10,128 3,735Houston 41,661 37,972 3,689

Colorado Springs 17,141 13,550 3,591Durham 12,868 9,289 3,579Tempe 8,084 4,582 3,502

Fort Worth 17,750 14,400 3,350Columbus 23,126 19,791 3,335Thornton 4,822 1,624 3,198

United States Millennial Migrations Analysis

ATLANTAOKLAHOMA CITY

WACO

NEW ORLEANS

HOUSTON

DALLAS

SAN FRANCISCO

LOS ANGELES

NEW YORK

BOSTON

WASHINGTON DCCHICAGO

LAS VEGAS KANSAS CITY

ANN ARBOR

BERNARDSVILLE

BROCKTON

DENVER

SACRAMENTO

COLUMBIA

SAN JOSE

LOUISVILLE

CHARLOTTE

SAN ANTONIO

ABILENE

DENTON

DEL RIO

EL PASO

EDMOND

NORMAN

MIAMI

ORLANDO

TAMPA

NASHVILLE

ALBANY

SPRINGFIELD

DES MOINES

MINNEAPOLIS

PIERRE

CARSON CITY

ONTARIO

SALEM

AUSTIN

BANGOR

FLORIDA

CINCINNATIOVERLAND

PARKARLINGTON

FORT COLLINS

COLORADO SPRINGSDURHA

M

ARIZONA

TEMPE

FORT WORTH

JACKSONVILLE

NEWPORT

RICHMOND

VIRGINIA BEACH

OAKLAND

COLUMBUS

THORNTONFRANKFORT

CHARLESTON NORFOLK

VANCOUVERMISSOULA

HELENA

SEATTLE

RALEIGH

Outward Migration

Inward Migration

1616

Europe : UK and Ireland are seeing the highest decline in inbound tech talent with the headcount reducing by 3.4% and 2.8% respectively

XXX

XXX

21% of European tech founders move to another country to start-up. Central and Eastern Europe have witnessed the highest outward talent mobility

UK & Ireland

Inbound talent mainly from Southern, Central and Eastern Europe

Nordics & Baltics

France & DACH

Benelux

Southern Europe

Central & Eastern Europe

Inbound talent mainly from UK & Ireland

Inbound talent mainly from Southern Europe

Inbound talent mainly from Southern Europe

Outbound talent mainly to UK, Ireland, France and Benelux Countries

Outbound talent mainly to UK, Ireland Baltic Countries 2.8

2.6

6.8

4.9

4.9

6

6.8

7.6

18

12.8

3.2

3.4

4

4.2

5.9

7.7

8.1

8.5

14.6

14.6

Italy

Sweden

Ireland

Poland

Switzerland

Netherlands

France

Spain

United kingdom

Germany

2018 (% of talent)

2016 (% of talent)

-6.2%Change in Inbound talent percentage for UK & Ireland combined

+1.8%Increase in inbound talent percentage for Germany

> 1%Change in Inbound talent percentage for France, Netherlands & Switzerland

Variation in percentage intra-European migratory talent for the top 10 destinations – 2016 to 2018

Note: The represented data has been analysed using DRAUP Proprietary Talent Database

1717

Africa : Rapidly rising internet and mobile population, key global company collaborations and higher education opportunities have resulted in global tech movement outflow

10,000+Software/IT developers migrated foreign countries in last 5 years

23%

10%

9%

9%

8%

7%

20%

United States

Saudi Arabia

Australia

UAE

Canada

Germany

14% UK

Other Countries

San Francisco, New York, Washington DC, Houston

Riyadh, Jeddah

London, Reading, Cambridge,Guilford, Edinburgh

Sydney, Melbourne, Brisbane, Perth

Dubai

Toronto, Vancouver, Calgary, Montreal, Ottawa

Berlin, Munich, Stuttgart, Frankfurt

Cairo, Giza

50,000+African students migrated to US and UK alone for studies

Nigeria, EgyptExport the highest number of students

South Africa, EgyptExport the highest number of IT talent

400+Key examples of CXO level employees have been mentioned below

Major Target Companies Sarah Mocke

CTO, Cross Domain Delivery, Microsoft, USA

Andrew FosterDeputy Chief Data Officer –Americas, Deutsche Bank, USA

Neil WhiteingChief Technology Officer, Commonwealth Bank, Australia

Peter MountainChief Security Officer – FSM, SAP, Germany

Kevin O’ConnorGroup Chief Information Officer, Equiniti, UK

Migrated Employees are currently at VP or higher levels

IT Service companies such as Andelapartner with global technology companies to outsource African developers, some of who eventually end up migrating to the respective foreign company locations.

Students Migration major factors:• Increased number of scholarship

opportunities• Higher number of exchange

programs• Leniency in Visa rules, particularly

in Australia and Canada

IT talent migration major factors:1. Higher pay scale2. Quality of Life3. Further Opportunities

Migration Factors

Note: The represented data has been analysed using DRAUP Proprietary Talent Database

1818

-15 -10 -5 0 5 10 15 20

China : Limited tech talent movement in Western regions and High movement within emerging “Megalopolis” regions near inland areas of East-Coast Tier-1 cities

Province with minimaltalent movement

Province with reduced talent outflow

Province with reducedtalent inflow

GuangdongShanghaiZhejiangBeijing

JiangsuTianjin

LiaoningXinjiangShanxi

ShandongHeilongjiang

GansuGuangxiHunanChongqingGuizhou

AnhuiHenanSichuan

Hubei

Net outflow of talent (in Mn) Net inflow of talent ( in Mn)Period ( 2015 – 2030)Period ( 2000 – 2015)

Key Insights

Reduced inflow in eastern coastal cities in Future (2018 -30)

Megalopolis –Super city clusters around Tier-1 cities

Automation causing slow growth in Tier-1 cities

Unfavourable government policies restricting talent flow in Tier 1 cities

Key Drivers

Emerging new age technology hubs and industrial areas in Tier 2 regions

Future Scenario in China

Past trend• Guangdong, Shanghai and Zhejiang provinces

had the highest net “migrant” in China• Talent moving to East coastal regions of China

for better economic opportunities

Tech companies like Xiaomi, Foxconn, Huawei are optimizing talent footprint in Inland Tier-2 cities for generic software skills while retaining high-end talent in HQReduced

talent inflow in East coastal provinces

Reduced Talent outflow from Tier 2 locations

Xinjiang

Tibet

Qinghai

Gansu NingxiaShaanxi

Inner Mongolia

Heilongjiang

Jilin

Shandong

Beijing HebeiTianjin

Yunnan

Shanghai

ZhejiangSichuanChongqing

Guizhou

Guangxi

Fujian

Liaoning

Hunan Jiangxi

HubeiJiangsu

Anhui

Hainan

Henan

Guangdong

Emerging Super City Clusters (Megalopolis)

Note: The represented data has been analysed using DRAUP Proprietary Talent Database

1919

India : Vadodara and Ahmedabad together account for 49% installed talent among Tier-II cities, given that GICs are setting up their centres and the start-up ecosystem is growing

Thiruvananthapuram

Vadodara

Ahmedabad

Coimbatore

Visakhapatnam

Kolkata

Chandigarh

Kochi

NCR

Mumbai

Pune

Hyderabad

Bengaluru Chennai

20% 11

29% 16 50

4% 10

7% 6

8%780

13%10

2%1

18%11

Total GIC Tech talent

9,000Total GICs

72

Tier-I cities Tier-II cities

9MAnnual Internal Interstate Migrant Population

“We are building know-how and hope to be the global test factory for Allianz”,

Ashish Patel, Head of Allianz India operations, Thiruvananthapuram

Nissan motors has opened a digital GIC in Thiruvananthapuram to further its global digital transformation agenda

Xylem plans to deploy its locally developed technology solutions to solve

local market challenges in Vadodara

CASE STUDIES

100

20

530

230

20

100

Number of tech start-upsNote: The represented data has been analysed using DRAUP Proprietary Talent Database