Executive Summary (This is a document excerpt)

The business press has been all aflutter recently with talk of potential buyouts of global outsourcers by private-equity firms. And why not? Attracted by double-digit growth in new deals, long-term contracts, and the popularity of outsourcing, equity buyers such as the Blackstone Group and Silver Lake Partners believe that there's an opportunity to make money fast. Forrester believes that the outsourcing industry could face sweeping consolidation in the next two years driven by low-cost global competition and broken business models. The universal loser in all of this will almost certainly be the outsourcing customer.

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