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Outsourcing is not simply a way of cutting costs, it is now a business model in itself, according to one expert.

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Today there are many talks about cloud computing. Supposedly it can give a new effective way to satisfy needs in hardware and software products and IT services. But what about IT personnel?

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Analysts who follow the major IT outsourcing firms like Accenture, IBM, Infosys and CSC say banks are getting more bang for their bucks, as a major price squeeze favors foreign firms over their American counterparts when it comes to winning deals.

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Cloud computing is threatening to kill the traditional IT outsourcing industry. Accenture’s Kevin Campbell explains to CIO.com what this transformation of the traditional IT services industry means for outsourcing customers.

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An increasing number of organisations have spent the last year cutting costs and the result has been a sharp reduction in growth in ITO throughout industry as a whole.

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Up to a fifth of all businesses have now offloaded their IT departments to an IT outsourcing provider, it has been claimed.

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Earlier this year I wrote about companies restructuring their outsourcing contracts to seek more flexibility from their suppliers, a trend spotlighted by TPI in its Index of the Outsourcing Industry for 2010′s first quarter.

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According to Gartner analysts, a global software exports market place is estimated at 90 billion US Dollars, while by the year 2013 it could be increased up to 120 billion US Dollars.

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Businesses are increasingly seeking to hire external IT support services rather than invest in their own internal infrastructure, it has been claimed.

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According tо the recent report by Gartner, world’s leading information technology research and advisory company, IT outsourcing is strongly gaining momentum in Western Europe, the second largest market after the US.

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