How growing IT outsourcing to Vietnam is threatening tech sector jobs in India

A Reddit thread is sparking debate with a provocative question, "Are the Growing Outsourced IT Jobs in Vietnam a Threat to Indian Jobs?" With Vietnam offering enticingly low labor costs, a rapidly growing tech talent pool, and attractive government incentives, major companies are increasingly eyeing the Southeast Asian nation as a viable alternative for their outsourcing needs. As the landscape shifts, the debate heats up—could Vietnam be on the brink of toppling India's outsourcing empire?

Are the Growing Outsourced IT Jobs in Vietnam a Threat to Indian Jobs?
byu/Hex_Hex1 indevelopersIndia

A recent Reddit post from two months ago supports this by highlighting a significant shift in the outsourcing landscape. 

It revealed that an Indian Director of Engineering was replaced by a Vietnamese counterpart, and soon after, the entire development team—including US-based developers—was replaced with Vietnamese staff. 

Oh man ! Our entire team has been replaced by Vietnam developers.
byu/tht_rajasthani_guy indevelopersIndia

The new team, working long hours and costing much less, has sparked a debate: Is the era of Indian IT dominance coming to an end?

Since the 1990s IT boom, India has flourished as a global outsourcing hub, with major companies like Infosys, Wipro, and Tata Consultancy Services driving its success. 

Indian tech firms thrived by offering highly skilled, English-speaking engineers at a fraction of the cost of local hires, benefiting both Indian providers and US companies.

Top tech graduates from prestigious institutions like IITs, BITS Pilani, and Manipal Institute of Technology became synonymous with India's tech prowess, securing prominent roles in global tech firms. 

However, Southeast Asian countries like Vietnam are now offering similar services at even lower costs. 

This shift has led many American companies to explore outsourcing options in Vietnam and the Philippines, potentially signaling a challenge to India's IT dominance.

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