Us thinking to stop outsourcing
What's your take on this ? Is this the end of IT in India ?
But, They can eventually move to some other cheaper (less tariff) countries
Where did you see this news? Is it even real?
Big blow to indian IT
Well it wont end overnight but it is possible.
If we take our country itself for example imagine if all our jobs get outsourced to people from other states cause they offer the same service cheaper wont it lead to us being jobless and pissed ?
Same thing is happening in a global level. India was good for outsourced work but issue is with immigration cost and min wages in those countries also dropped significantly.
Now outsourced bills and in-house bills are have single digital % difference. Plus people there want the immigrants out and causing chaos. The govts outside are pressured to comply and actually make changes to include citizens of that country in an organisation although it is unfavorable for them.
It is already happening. Gulf countries have started localisation in orgs and even diversity targets. EU too the same thing especially eastern EU and Netherlands, Sweden, Italy, etc.
From a company PoV cutting outsourcing reduces profit margins. Example 30% profit in worse case will drop to 15% profit or even 5%. But EoD they are still having profit. They will come up with more innovative ways to boost the margin. Meanwhile countries who depend on Outsourcing will suffer.
To summarise, it wont be the end immediately but its a gradual death. We need to find things other than outsourcing fast and develop on that.
Not end but not at this scale
Even if they wanted to switch it takes time to grow ecosystem it cannot be that quickly
It's like India banned Chinese items 😂 never happened bro US engineer average salary higher at any time than India
