Why I Have Become Pessimistic About Indian I.T. [@wadhwa on LinkedIn]
It is not that Indian outsourcers have become less capable of servicing Western needs. It is that their customer base—the CIO and IT department—is in decline. With the advent of tablets, apps, and cloud computing, users have direct access to better technology than their IT departments can provide them. They can download cheap, elegant, and powerful apps on their IPads that make their corporate systems look primitive. These modern-day apps don’t require internal teams of people doing software development and maintenance—they are user-customizable and can be built by anyone with basic programming skills.
It takes decades to update legacy computer systems, and corporate IT departments move at the speed of molasses. So, Indian outsourcers have a few more years before they suffer a significant decline. They certainly won’t see the growth and billion-dollar outsourcing deals that have brought them this far.