Global Outsourcing to Become Main Form of IT Delivery by ‘12 – Forrester

According to a research conducted by Forrester, outsourcing will become main form of IT delivery by 2012. In addition, Indian companies are likely to overshadow the multinational firms in the application outsourcing domain. Among the key findings, more Americans are likely to offshore their work in the near future.

The Indian outsourcing firms such as TCS, Wipro, and Infosys had posted an increase in revenues in the range of about 40 percent to 50 percent. According to another research firm, Technology Partners International, the Indian vendors own just 6 percent of the global outsourcing market in 2006. In addition, the US companies are only spending about 1.9 percent of their outsourcing budgets on offshore services.

However, at present, the Indian firms are gaining with global firms relying on third-party vendors to optimize and streamline their businesses. The application outsourcing services have materialized as a highly strategic business. It has also become difficult to sell various IT and BPO services, which are prompting a huge investment.