And India looks set to remain the outsourcing leader in the long term, according to the consultancy neoIT, which advises global companies on offshore operations.
New Delhi headed the seven Indian cities that topped the list of 24 from around the world vying for the tag of favorite offshore sites, said neoIT in a report entitled: "Offshore Insights: Global City Competitiveness.
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"A lot has been said about India's eroding cost advantage and supply constraints," senior neoIT consultant Sabyasachi Satyaprasad said Saturday.
"But the fact remains that in terms of talent supply and cost arbitrage, India is still the leader," said Satyaprasad, whose company is headquartered in San Ramon, California, with offices in India and the Philippines.
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Industry analysts closely watch profit-margin trends of Indian outsourcing companies for signs their competitive edge is eroding.
But Satyaprasad said in an interview there was no sign of that happening and Indian outsourcing giants like Infosys, Wipro a