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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (67595)	4/14/2005 12:46:29 AM
From: Elroy	Read Replies (4) \| Respond to of 77400

Almost all software startups are outsourcing the majority of R&D now. Meaning, the engineering VP is here and workers are in india. Since these are startups, you have to consider this as "new product development". I agree with Peter, its not really cost effective. But companies are trying like hell to make it work. Well that sounds crazy. However, if it is not cost effective, why are they trying to make it work? You'd think the smart startup would just do all the engineering in the US and (if outsourcing is really not cost effective), win the battle. It can't be both a long term trend and not cost effective. If it isn't a superior method, companies will revert to the old method. If it is a superior method, then you're wrong.