Gartner Report on Offshoring IT Jobs 4-2005
A recent report by Gartner suggests that outsourcing and offshoring are going to ramp up significantly in the next few years -- but that automation will have an even greater impact on IT.
An article about the report in Information Week says
An article about the report in Information Week says
- More IT jobs in the West are at risk of disappearing because of automation and
productivity gains than from offshore outsourcing. The effect of those factors on IT job displacement will, by 2015, be six times greater than the impact of offshoring, - 30% of IT jobs in developed countries will be "offshored" by 2015 (according to Gartner).
- Last year, Forrester Research analyst John McCarthy said 3.4 million U.S. services jobs--including a number of IT-related positions--would move offshore by 2015. According to the Information Technology Association of America, there are about 10.4 million IT professionals employed in the United States.
- over the next five years, Gartner says in the report, worldwide spending on offshore research and development and engineering will increase by a whopping 860%, from $1.25 billion in 2004 to as much as $12 billion in 2010, Gartner predicts.
- Offshore spending on infrastructure outsourcing will grow from between $100 million and $250 million to between $3 billion and $4 billion over the same period. Offshore spending on application-development services will more than double from $23 billion to as much as $50 billion.

