Economy Could Break Outsourcers, Analysts Say - CIO.com - Business Technology Leadership

I have also blogged about this during the past year. If you are a pure outsourcing company without scale benefits, you might be out of luck. Clients will be more reluctant to sign longterm contracts and some want to take the skills inside again due to failed benefits of the outsourcing. Greed has also driven some players out and I can not believe that the largets players such as Accenture, HP and IBM will have the expected growth year-after-year. It will be even more harsh to offshore locations such as India where the economy might hit even harder.

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