The offshore IT services industry is still in its infancy, even after more than 10 years of US companies sending IT support work to countries such as India, according to research from market research company Forrester Research.
Of US Fortune 1,000 firms, 60% are either doing nothing or have only just started to investigate the potential of offshore resources, according to the research. Another 25% to 30% of companies are in the experimental stage, having entered relationships with offshore suppliers for small projects, and spending between 1% and 5% of their IT budgets on offshore resources.
The remaining 5% to 10% of companies are already using offshore resources, with between 10% and 30% of their IT budgets spent on such resources. Less than 5% have already developed a global sourcing strategy and documented best practices for large-scale development. This category of companies typically spends between 40% and 50% of their budgets on offshore resources.
This article is based on material originally produced by ComputerWire.