Five New Trends in Offshore Outsourcing Market
What will happen to the offshore outsourcing market in the next 5 years?

Merger

Because of the large scale growth of providers' amount, the contests of outsourcing contracts reach unprecedented cruelty; therefore some large-scale merger transaction will appear in the market rapidly.

Recently, the rumor of the merger between Infosys Technologies and Capgemini Group indicates that, a large-scale merger transaction will be happened in the industry. Duncan, the director of TPI management says that even if the rumored transaction of Infosys-Capgemini failed finally, it also would reflect the current "Market Trend".

In addition, some experts predict that in the next 1 or 2 years, more mergers will come out in this industry.

Globalization

It is always said that India is losing its advantages on the offshore outsourcing market. A study of IDC shows that by 2011, some cities in China will surpass those in India and become the top outsourcing service providers.

It is impossible that China will comprehensively surpass India in the outsourcing market, but it's a trend of outsourcing market globalization. More and more areas hope to make a good use of the expanding trend of outsourcing market.

Apart from the so-called BRIC (Brazil, Russia, India, and China) countries, Egypt, Poland and other developing countries are becoming the offshore outsourcing workforce providers.

Human Resource Outsourcing

Offshore outsourcing is usually related to exchanging with large-scale businesses. But the research shows: the size of business exchange is increasingly narrowing. A report published by Evaluserve said that the offshore outsourcing had affected some small enterprises, and even families - it regarded this situation as Human Resource Outsourcing.

The outsourcing examples include online counseling, Web and software development, writing and compiling services. All the clients may be the small enterprises, even individual consumers.

Evaluserve commented that, between April, 2006 and March, 2007, the revenue of human resource outsourcing had exceeded $250 million. Besides, he predicted that the revenue of human resource outsourcing market would be over $2 billion by 2015.

Green Outsourcing

As the energy prices are rising constantly, the Environmental Protection becomes a big problem for the information technology directors. Will it affect the outsourcing decision-making of enterprises?

Recently, Jury, the CIO of Silicon.com announces that, the environment factors play a very important role in choosing technology vendors and partners.

Virtual World

The rise of virtual world, such as Second Life, enables companies to judge the offshore outsourcing employees more conveniently. The virtual outsourcing services international market has just been born, but it increasingly attracts enterprises in this field, therefore this kind of market is saving power.