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The general opinion regarding outsourcing is that it is done to save money but a study indicates that just saving money is not the only reason behind it. The study has been bundled in a report titled ‘Outsourcing Application Development And Maintenance.’

Rick Sia, Lead author of the report stated:

While cost savings remain an important cornerstone of many IT outsourcing strategies, most companies, especially in the mid-market, look at outsourcing application work to boost the skills of their internal IT staffs and allow them to tackle more strategic work.

Up till now most of the people thought that western countries were looking to outsource their work just to save costs but this report is certainly an eye opener and it has busted this myth which was prevailing for quite a while.

We can see now that a number of countries are ramping up with their IT capabilities and giving the companies a lot more to choose.