What effect will President Trump have on Offshore Software Development?

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Ever since the news of US presidency under Donald Trump has come out, people have been making all kind of assumption on various trade and business links of the USA with the rest of the world. One of the major key players when it comes to trade is definitely information technology. Some are positive about the coming changes and some fear that the decisions which the President might take may be quite aggressive.

One thing is for sure, and that is the impact of the Donald Trump presidency would mark an impounding and dramatic change to Offshore software Development. However, when we talk about offshore software development to India, it might not be as fiercely as it is being talked about.

Is Software Outsourcing Bad?

Trump has always been very vocal about the jobs being shifted from the US to other developing countries like India, Mexico and China, that has brought about a dearth of jobs in the home country therefore rendering people unemployed and being more dependent on social security. He was always against moves which have taken in the past which led to shifting of IT jobs to countries like India. In the past when IBM laid of 500 IT professionals in Minneapolis, he expressed in a negative way and said that once he is elected he would levy a heavy tax up to 35% on such IT giants which shift jobs without first accessing the manpower requirement locally.

Not only is he against IT offshoring but is also saying very strongly against immigration. He is not against providing a visa to people who are willing and are ready to contribute to the economy without affecting the locals, however, does not support the fact that local people are rendered unemployed and jobs are being shifted abroad.

People are hopeful or are thinking wishfully that once the Mr. President is in full swing and has taken full duties he would then chalk out the pros and cons of IT outsourcing and might relax visa restrictions for opportunities which cannot be fulfilled by locals. There are many IT professionals who possess niche skills and are not able to be found locally. Such professionals will be welcomed and would also be given easy access to visa reforms.

Future Hopes

India has had an excellent relation with the US and under the leadership of Prime Minister Narendra Modi both the nations have strengthens their ties. If the future continues to keep up with the ties then the president-elect would follow suit as the former Mr. President and the growth between both the countries would foster. Along with the IT sector, the BPO and /KPO sectors are also preparing for a jerk if Mr. President happens to do what he has been saying in the past.

Many are also envisaging that the Offshore software Development may be impacted in a negative way in the short run but could shape up to normal when the actual importance of the IT resources would be realised. Until then IT companies and people who are employed in the USA are keeping their fingers crossed and hoping that software outsourcing might not happen this way.

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Jessica Cyrus

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