By Slator | February 28, 2022
The Slator Language Service Provider Index (LSPI) is a ranking and an index of the world’s largest translation, localization, interpreting, and language technology companies.
As in the 2021 edition, participants in the Slator 2022 LSPI are listed in order of revenue (in USD for 2021). The ranking is supplemented with information relating to each company, such as 2020 revenues, year-on-year growth, corporate headquarters, ownership, and financial year-end.
Consistent with previous years, Slator has segmented the landscape of providers into four distinct groups.
1) Super Agencies – full-service, multi-vertical LSPs with revenues greater than USD 200m;
2) Leaders – LSPs with revenues greater than USD 25m and that do not fall into the Super Agency category;
3) Challengers – LSPs with revenues between USD 8m and USD 25m;
4) Boutiques – LSPs with revenues between USD 1m and USD 8m.
Companies may choose to use the information as a benchmark for their own performance and growth, as an indication of growth in the language services industry, and as a starting point for evaluating strategic options including M&A.
-- The 2022 LSPI features more than 300 companies in total, more than 100 of which are making their debut this year.
-- The combined US-dollar revenue of Slator 2022 LSPI companies grew more than 22% in 2021 to nearly USD 9.5bn. This is an attractive headline rate — particularly given the continued challenges posed by Covid-19 in 2021. However, the following should be noted:
• A significant portion of this growth is the result of M&A-driven consolidation.
• We estimate organic growth across the ca. 300 companies featured in the low double digits.
-- Inclusive of both M&A and organic growth, growth among the Super Agencies was 33%, compared to Leaders (18%), Challengers (14%), and Boutiques (16%).
-- A small number of LSPs reported revenue declines in 2021: 10% of Leaders, 8% of Challengers, and 10% of Boutiques. None of the Super Agencies reported declines in 2021.