software outsourcing

A blog related to software development company and offshore software outsourcing

Thursday, August 17, 2006

Bill Gates warns for too much Offshore Software Development

Software Giant Bill Gates warns for too much Offshore Software Development assistance. Microsoft Chairman and Chief Software Architect Bill Gates advised that companies should keep their key and core functions in-house and should be less dependent on the Offshore Outsourcing Services. He also warned the companies to reduce the help of overseas service providers for the core functions of the companies, Key Engineering resources, keeping Intellectual Property Rights at home and many other key functions. According to Bill Gates, Offshore Software Development is really a good business process to cut the cost and get some good quality services. But companies should also keep in mind about the privacy and security of their resources, data and key information.
Bill Gates also stated that if the companies would depend too much on people and companies of other countries, ultimately they will be outsourcing their brains where they could make all the innovations. Sending development work to the overseas services providers and countries has been the most effective trend in current IT market and most of the companies are involved heavily with this business process. According to the Gates, companies should maintain the competitive edge by investing rather than looking for the cost cutting advantages. He also believes that companies should train more in-house engineers and avoid taking help of offshore services providers.

Offshore Software Development Services

He mentioned that most of the IT Companies from United States are cutting their Research & Development budgets by involving Offshore Software Development process to cope up with increasingly competitive worldwide market economy. Offshore Outsourcing could be one of the best alternatives for the secondary functions of the company and could help the companies to cut down the cost up to some good extent also. He also praised India and China for the best Offshore Software Development services. He mentioned that both the countries have dome remarkable growth in the field of Information Technology and US and other countries should also follow them for the same. It would really help United States to maintain the economic growth and competitive advantage.
Bill Gates also mentioned that United States should also concentrate on better education system in the field of Information Technology. He mentioned that the number of IT graduates in the country is going down compare to India and China, so the country should also concentrate hard on IT and education system and it is the main reason for the success of these companies in the field of Offshore Software Development services. Offshore Outsourcing to India or China has gained the growth because of their remarkable improvement in the filed of IT services. Both the countries are doing very well for Offshore Software Development services and it has helped them for their economic growth also.
In short the whole theme behind this concern of Bill Gates is to maintain the core functionality of the business in-house rather than taking the help of the Offshore Software Development services.