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US looks overseas for skilled employees
For many US high-tech firms, the severe shortage of skilled employees is forcing them to look overseas by sending projects overseas including India.
For many US high-tech firms, the severe shortage of skilled employees is forcing them to look overseas by sending projects overseas including India.
The practice of outsourcing is not new, but it has taken on a new dimension in information technology with the scarcity of it professionals and the availability of skilled workers in places such as India, say analysts.
Although data on it outsourcing are not readily available, a good indication of the figure is the estimated $ 6.3 billion of software exports from India, mostly from outsourcing, says Mike Dodd, a technology analyst at GIGA Information Group. India's software industry predicts its exports will hit $ 85 billion by 2008, with 65 per cent of the going to the United States.
The most common outsourcing is software development, and far and away the biggest player is India, with 80 per cent of the market, said Dodd, who noted that other countries handling outsourcing include the Philippines, Israel and Ireland. Some of the big us firms outsourcing programming to India including American Express, Compag, General Motors, home depot, IBM, Microsoft, Motorola, Sprint and 3m, according to the Indo-American Information Technology alliance.
The practice of outsourcing is not new, but it has taken on a new dimension in information technology with the scarcity of it professionals and the availability of skilled workers in places such as India, say analysts.
Although data on it outsourcing are not readily available, a good indication of the figure is the estimated $ 6.3 billion of software exports from India, mostly from outsourcing, says Mike Dodd, a technology analyst at GIGA Information Group. India's software industry predicts its exports will hit $ 85 billion by 2008, with 65 per cent of the going to the United States.
The most common outsourcing is software development, and far and away the biggest player is India, with 80 per cent of the market, said Dodd, who noted that other countries handling outsourcing include the Philippines, Israel and Ireland. Some of the big us firms outsourcing programming to India including American Express, Compag, General Motors, home depot, IBM, Microsoft, Motorola, Sprint and 3m, according to the Indo-American Information Technology alliance.
Bureau Report