Business
CLPS Incorporation Announces Establishment of Dubai Subsidiary, Marking Strategic Expansion into the Middle East Market
HONG KONG, Aug. 7, 2024 /PRNewswire/ -- CLPS Incorporation (the "Company" or "CLPS") (Nasdaq: CLPS) today announced that, through its wholly-owned subsidiary,
About this update from Clps Incorporation
[{"type":"text","content":"HONG KONG, Aug. 7, 2024 /PRNewswire/ -- CLPS Incorporation (the \"Company\" or \"CLPS\") (Nasdaq: CLPS) today announced that, through its wholly-owned subsidiary, CLPS Investment Management Ltd., it established Ridik Technology Ltd. (\"Ridik Dubai\"), in Dubai, United Arab Emirates, on July 31, 2024. This strategic move aims to deepen the Company's global expansion strategy and tap into the thriving Middle East market by providing advanced IT services and solutions to local and international business.\n\nThe Middle East region is undergoing rapid digital transformation, driving substantial growth in IT spending. According to Gartner[1], IT spending in the Middle East is projected to grow by 5.2% in 2024, reaching USD 193.7 billion. The IT services segment is a key growth driver fueled by increasing demand for professional and consulting services to prepare their businesses for cloud migration, AI, generative AI (GenAI), and IoT implementations. Additionally, companies are capitalizing on data monetization opportunities created by the convergence of these technologies.\nSince initiating its global expansion strategy, CLPS has achieved consistent growth in revenue generated outside of mainland China, with a 25.4% increase in the first half of the fiscal year 2024. The UAE's proactive stance in fostering a technology-driven economy, coupled with its strategic geographic location, makes it an ideal platform for CLPS to serve the broader Middle East market.\nCLPS has appointed Ms. Maddoju Hymavathi as General Manager of Ridik Dubai, tasked with spearheading the Company's business development and operational management in the region.\nMr. Raymond Lin, Chief Executive Officer of CLPS, said, \"The establishment of Ridik Dubai is a pivotal milestone in our global expansion journey. Dubai's position as a commercial and technological hub in the Middle East, coupled with its abundant resources and vast market potential, makes it an ideal location for us to expand our footprint. By establishing a local subsidiary, we can better serve both existing and prospective clients, while accelerating their digital transformation initiatives.\" He added, \"We view Dubai as a strategic launchpad to extend our services across the entire Middle East region and explore new market opportunities.\"\n[1] Source: Gartner Forecasts MENA IT Spending to Grow 5% i...