High-tech icon sees only positives in 'offshoring'
By MARILYN GEEWAX
The Atlanta Journal-Constitution
Published on: 03/23/04
WASHINGTON -- In 1993, college student Marc Andreessen created the Mosaic Web browser, the first tool that let ordinary people easily explore the Internet.
Marc Andreessen says the outsourcing of jobs reduces the cost of goods and services for Americans.
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Last week, he came to Washington on a one-man media campaign to extol the virtues of free trade and offshoring. Here are excerpts from his conversation:
Q: Given the slow pace of U.S. job creation, many Americans are angry about offshoring. Why associate yourself with this controversy?
A: Because so many people are so completely wrong on this. It's just unbelievable. (Offshoring) is a hugely, hugely positive trend. Absolutely positive.
Q: Why is it so great?
A: It fundamentally reduces the cost of goods and services for Americans. If I can get my tax return prepared for less money because the offshore labor is cheaper than the domestic labor, then as an American consumer, I'm better off.
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Q: But isn't offshoring pretty much a one-way street at this point?
A: It goes both ways. We are offshoring jobs because of the labor cost differential, but on the other hand, they are offshoring jobs to the United States because of the skills that are here. A full 6.5 million Americans are currently employed by foreign companies.
Q: Isn't globalization creating new tensions as countries compete?
A: I believe the world becomes safer as a consequence of this. I believe this is a national security issue. We need to encourage the development of robust, capitalist economies and a broad middle class in China and India.
Ten years ago, everybody said China would be the next big military threat to the United States. Obviously, that's not the case now.
Why? Because they are becoming capitalists, and the last thing a middle-class Chinese person with a tech job wants to do is get into a war with the United States. They want to sell us stuff.
Q: Why are you speaking out about this?
A: My company makes software that helps people offshore jobs. The anti-offshoring arguments are just so false — on their logic and their facts — that I think somebody needs to stand up and say this [offshoring] is good.
Q: What do you think of the move among some members of Congress to outlaw the use of offshore labor by government contractors?
A: It's the silliest, dumbest thing I've ever heard of in years. It's just nuts.
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