After lashing out at opponent Mitt Romney for outsourcing jobs to India, Barack Obama government plans to launch two large deals focused on the onshore model, where the projects will be managed in the US, CNBC TV 18‘s Kritika Saxena reports.
The deal is likely to be worth $320 million in the insurance space for software testing, infrastructure management and BPO services. The deal also comes with a mandatory ‘no offshoring’ clause.
Tech major IBM and Indian IT services giant Infosys which is also listed on Nasdaq are the likely contenders for the deal which is will be spread across 6-7 years. The US government is increasingly focused on non-offshore deals to prevent jobs moving to India.
The Indian IT majors, who are increasingly looking to de-risk their revenue growth which largely depends on US are now tapping newer growth frontiers such as Japan and Australia.