Vodafone Mulling Romania or Hungary for New Software Centre
Published on: 17th Dec 2012
Note -- this news article is more than a year old.
Vodafone may select Romania as the base for its new software centre over Hungary due to the unfavourable government regulation and taxation in Hungary.
Vodafone already operates a Shared Service Centre in Budapest, Hungary and is looking to set up a new software centre in Eastern Europe.
Gyorgy Beck, president of Vodafone Hungary, told the Wall Street Journal that Romania has better chances at present that it will be chosen above Hungary as the site for Vodafone's new software development center because of its more favorable tax regime and higher number of IT specialists.
He cited recent tax hikes by the government which have singled out the telecoms industry and the general government attitude to investments by large companies into the country.
Recent moves by the government to reassure investors have not assuaged all their concerns though.
"It's unclear what the agreements are about. There's no forum to discuss telecommunications issues, no dialogue, while drastic changes have hit us over the past three-four months," Beck added.
Talks between Vodafone and the Hungarian government are still underway.
On the web: Wall Street Journal