(Wall Street Journal) In movies and TV sitcoms, India's outsourcing industry is a jolly place. But there's trouble in the world's back office.
Outsourcing contributes nearly $69 billion a year to India's economy and makes up a quarter of its exports.
But the sector faces slowing demand. Industry giants Infosys Technologies, Wipro and Tata Consultancy Services earn nearly all their revenue in the U.S. and euro zone. Infosys has cut its revenue guidance for the year twice in the last six months on fears about the global economy. Rival Wipro also warns sales will fall.
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Costs are climbing too.