Forrester

Why Read This Report

The movement to domestic outsourcing models continues to accelerate for a number of reasons. First, clients, who today depend on software to differentiate and grow their businesses, require contextually sophisticated developers who can communicate synchronously, interpret their fuzzy and constantly changing requirements, and build software solutions to meet those requirements. Second, clients require agility and also lightning-fast time-to-market. Third, India, the No. 1 offshore outsourcing location, is suffering from oversubscription. Thus, prices are inflating, attrition is increasing, and quality is on the decline. Fourth, as vendors attempt to bring more Indian staff onshore to alleviate the culture, communication, and time zone mismatch, the US government has tightened up its process for issuing visas and enforcing existing visa regulations. And finally, politicians and concerned citizens alike are shining a spotlight on the unemployment dilemma in the US, causing companies to think about creating jobs for college graduates in the US before creating jobs for similarly skilled foreign workers. This report will examine the reasons domestic outsourcing is growing.