The Indian companies are mounting this effort out of fear that the pressures of the presidential election, and of the Democratic primaries especially, will induce candidates to lash out at Indian vendors. Their business model is a perpetual lightning rod: the companies carve out tasks from their American clients and perform them more cheaply in India or other places with low costs for overhead and labor.
The Indian vendors’ main worries are two Democratic candidates: Senator Barack Obama of Illinois, whose campaign has hinted at opposition to outsourcing, and John Edwards, former senator of North Carolina, who is running a populist campaign. Many Indian executives consider Senator Hillary Rodham Clinton, Democrat of New York, more sympathetic to their industry, but they are concerned that she will be compelled to match the others’ statements in a tight contest.
The Democrats’ new majorities in Congress were built in part on opposition to unpopular facets of free trade like outsourcing. For the Indian companies, a recent attempt in Congress to further restrict visas for skilled workers underscored that a storm is gathering.
Some in Washington would like to make outsourcing an issue again, said one Washington lobbyist who represents some of the Indian companies and who asked not to be identified because of company rules.
But if the movement against outsourcing is roused again, it will find itself jousting with a changed opponent. The Indian vendors have in no way strayed from their belief that outsourcing benefits both India and the United States. But they have found smoother ways to get the point across.
http://www.nytimes.com/2007/09/04/business/worldbusiness/04outsource.html?ref=us