Why Indian Software Outsourcing Companies are Outsourcing to China

Chris F. Masse January 28th, 2008

This white paper examines some of the unique challenges Indian software companies are facing:

The decreasing talent pool;

Rising costs;

Insufficient infrastructure and;

Not enough time to train and build infrastructure

It then shows how China is the answer to their problems because:

It has only talent pool which is large enough to compare to India’s;

The local talent pool is still largely untapped in the second-tier cities;

Ten cities have targeted software development as part of their development initiatives;

Good universities provide strong training and basic skills;

English and communication skills are swiftly catching up.