Off-Shore Engineering

[George Toft]

David Mandala wrote:
> =

> I can't and won't compete with $7 per hour which is what some overseas
> programmers are getting (and they are happy with it). I don't think
> their rates are going to come up much in the near future so I don't
> think it is going to level out.
> =


It will level out, but there is an offset cost with doing business
overseas.  It will be something like this:
	US Labor =3D Offshore labor + Offset

How much that offset is will be determined over the next few years.  I
doubt it can ever reach zero, but even if it get as low as $15, you
might check into ditch-digging :)

What am I going to do?  Something that has to be done IN THIS COUNTRY. =

Right now, it would appear to be Government Contracting or a career
change (I'm getting tired of IT anyway).  I would disagree with focusing
on small businesses - when I worked at the .com, we outsourced our
programming to Russia.  It cost us $25 per hour, and they worked very
fast.  We turned around and charged $75 per hour.  Our whole business
consisted of 4 people.  If a 4 person operation can outsource, and a
10,000 person company can outsource, I contend that everyone in the
middle can outsource.

George
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