Sunday, March 02, 2008

Media Behind Curve on India Outsourcing

CARPE DIEM: The Coming Death of Indian Outsourcing?:
"Is the death of Indian outsourcing all that far off?

Assuming a 15% year-to-year salary hike rate, and a 2007 cost advantage of 1:3 in favor of India, if U.S. wages remain constant, India’s cost advantage disappears by 2015. Then what?"
Too late. It is already happening. High tech work outsourced to India is being third-sourced to China or other places with lower wages.

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