Press Release Headlines

PlanetMagpie Publishes New White Paper: "The Argument for ReShoring IT: The Risks of Outsourcing Offshore, and Why 'IT ReShoring' is Growing"

White Paper Documents Offshoring's Risk to U.S. Economy and Cybersecurity, Advocates Job-Creating "ReShoring" Alternative

FREMONT, Calif., Nov. 16, 2012 /PRNewswire/ — Has IT Offshoring damaged America's economic future?  Its national security?  The research says yes.

A Bay Area IT Consulting firm has published a white paper that provides a 40,000-foot view of Offshoring…and all of its unintended consequences.

Titled "The Argument for ReShoring IT: The Risks of Outsourcing Offshore, and Why 'IT ReShoring' is Growing," it cites 28 sources showing the risks American businesses open themselves up to when offshoring IT.

Offshoring: High Economic Risk, Low Cost Savings (and Getting Lower)

The white paper breaks down how offshoring IT services affects different aspects of our national well-being. Readers will see how offshoring endangers the:

  • U.S. Economy—over 1.5 million middle-class IT jobs have been lost to other countries
  • U.S. Technological Superiority—previously the tech leader of the world, America is providing valuable R&D experience to developers and engineers in other countries, undermining its own competitiveness in the long term
  • U.S. Intellectual Property—cyber-criminals are stealing IP, trade secrets, R&D, customer data, even source code that American companies voluntarily send overseas
  • U.S. National Security—with a weakened and reduced IT talent pool, the U.S. becomes vulnerable to cyber-warfare & cannot defend its infrastructure

Bringing IT Jobs Back to the U.S.:  Job Creation + Cybersecurity

"ReShoring" is a new trend advocating for businesses to bring IT and manufacturing jobs back to the U.S. from overseas. The white paper supports reshoring for IT services like software development, support and component manufacturing. It lists out reshoring's benefits, not just to businesses, but to local economies and national security as well.

"Clients have come to us after bad experiences offshore," says Doreyne Douglas, VP of Operations at PlanetMagpie IT Consulting, which created the white paper. "Not only has the experience hurt their bottom line, but they're getting a new national perspective on the consequences of offshoring and they're making strategic decisions to bring their work back home. Judging from the sources we've cited, they're not alone."

Doreyne Douglas