US slowdown to help Indian IT: Gartner

US slowdown to help Indian IT: Gartner

BS Reporter / Mumbai April 24, 2008

The current economic slowdown in the United States is expected to lead buyers of Information Technology (IT) services to consider increasing the percentage of their labour in offshore and lower-cost locations like India, according to a report by IT research firm Gartner.

Buyers of IT services will shift from cost containment goals to a greater focus on cost reduction and productivity increases in their sourcing decisions. This will lead to a steady increase in the adoption and expansion of offshore services - primarily from India, but increasingly from other countries as well.

TJ Singh, research director, Gartner said,