David on IT Outsourcing in China: [news] Hot Techs: SOAs, Linux and INDIAN offshoring

Tuesday, June 8, 2004

Dateline: China

The Enterprise Outlook conference was held last week and today's three hottest trends are Linux, service-oriented architectures (SOAs) and Indian offshoring according to the collective views of the presenters. (See http://tinyurl.com/2zd28 .)

HP's Ann Livermore ranted about Linux and was upbeat about IT outsourcing -- but didn't give away any HP secrets. This is significant in the fact that HP services is under her charge. She also sees corporate spending strong in the small and medium enterprises (SMEs) sector. A BEA exec touted SOAs (no surprise), whereas an IBM exec talked about the need for always on connectivity.

Finally, outsourcing product development to India was noted, along with the observation that the outsourcing market is spreading to numerous cities in India due to rising costs in Bangalore. Cost savings in offshoring to India were cited in the 40-50% range.

Bottom line: Examine how a SOAs strategy fits your capabilities and core competencies. Remember, the flip side of SOAs is Web services. Think about utility computing opportunities, but (more importantly) ponder the opportunities in content management and portal development.

Cheers,

David Scott Lewis

President & Principal Analyst

IT E-Strategies, Inc.

Menlo Park, CA & Qingdao, China

http://www.itestrategies.com (blog) &

http://tinyurl.com/2r3pa (access to blog content in China)

http://chinasourcing.blogspot.com/atom.xml (XML feed)

http://tinyurl.com/2hg2e (AvantGo channel)

In China, to automatically subscribe click on http://tinyurl.com/388yf .