Monday, September 19, 2011

What The Indians Are Doing While The American Labor Forces Demand A "War For Jobs"

While Progressives like NY Times Charles Blow argues that the 'War On Poverty' should be followed up with a "War For Jobs" other people around the world who don't have the comfort of such theory are taking the matter into their own hands.

Please consider the article below from the perspective of grabbing market domination today for future pricing power - all the while building up the COMPETENCIES of the people within as the foundation of your future prosperity.

Do you see this spirit anywhere in the article by Charles Blow that was syndicated by "The Root.com"?   Of course not.

What we have is a group of (abstract intellectuals) people who pride themselves at having built up workers rights in the United States up to the point that no office worker has to live through the indignity of a non-air conditioned office.  As they project their plans for a new round of jobs to be created - they start with a cost model that centrally includes "air conditioning" in the cost of labor.

Their theories are upended as they are forced to compete with individuals who are focusing more on their craft than their own comfort.  Just as there are masses of people in the American Rust Belt that would enjoy "workers rights" IF they had a job..............the next generation of Americans will enjoy "air conditioning" IF they had the competencies that these programmers in India have and were competitively priced.

Since the Internet is a global network - the traditional "Made In America" label as a means of erecting protections don't work.   Those who might try to implement such a model in the world of cyberspace risk erecting a massive government overlay in their attempt to favor American production that is worse than the disease.

In this instance - applied knowledge at lower costs are the key attributes for market success.

Indian 'Sweat Shops' Are Making The Next "Angry Birds".

From Bloomberg Businessweek
 By Ketaki GokhaleAug. 24 (Bloomberg) -- Between piles of trash and stray dogs near a Mumbai slum is the entrance to MoFirst Solutions Pvt., where two dozen workers sit shoulder-to-shoulder with no air conditioning and write code for iPhone apps on laptops.
“The rates Indian developers charge are very low,” said Akash Dongre, chief operating officer at MoFirst Solutions, where clients pay as little as $15 an hour for a programmer.
MoFirst is tapping India’s next wave in outsourcing, with thousands of programmers that charge a fraction of Silicon Valley prices to capitalize on demand for programs for Apple Inc.’s iPhone and devices running Google Inc.’s Android software. Developers-for-hire for mobile applications may generate $5.6 billion in revenue by 2015, a 14-fold jump from this year, Forrester Research Inc. estimates.
“India is a logical place to do it for the same reason the software and services model has worked here: lower cost,” said Anshul Gupta, an analyst at research firm Gartner Inc. in Mumbai.
Applications on Apple’s online store have been downloaded more than 15 billion times since its opening in 2008 -- with the Cupertino, California-based company getting a 30 percent cut on each sale -- as the surge of iPhone sales spawned demand for games and applications.
“It’s not about the device -- that’s not what makes sales happen -- it’s about the ecosystem,” said Gupta. “You need to have applications.”
Largest App Outsourcer
Companies or individuals seeking to hire can turn to sites such as Elance Inc.’s service, where companies such as MoFirst will bid to win app-development projects lasting from a couple of weeks to several months.
India is the world’s largest recipient of outsourcing orders, according to Elance, whose website showed more than 450,000 professionals offering their services as of yesterday.
Requests for programmers who write code for Apple’s iOS platform rose 20 percent in the second quarter, according to Mountain View, California-based Elance. Demand for programmers with Android skills rose by 15 percent, while developer requests for Research In Motion Ltd.’s Blackberry devices increased by 3 percent, according to the company.
“The iPhone stuff is very, very hot,” said Ajai Shankar, who spent 12 years in the U.S. as a software writer and moved back to India this year to embrace the app-outsourcing boom. “The struggle people have nowadays, is that once you’ve developed an application for iPhone, the next thing you know is you have to do the same for Android.”
Pricing Edge
Indian developers may have the edge in pricing. MoFirst bills clients in the U.S., the U.K. and the Middle East $15 to $20 an hour, compared with the $50 to $100 charged by developers in the U.S., said Dongre, who has a mechanical engineering degree from the Indian Institute of Technology, Bombay.
Applications MoFirst recently developed include Friends Aloud, an audio Facebook feed it created for a Texas-based entrepreneur, and Producteev, a task-management tool, for a New York-based client, he said.
MoFirst’s competition includes Qburst Technologies, which started in 2004 as a Web developer in the southern Indian town of Trivandrum. The company, which employs 400 people, may increase hiring after revenue from websites and iPhone apps jumped 76 percent to $3.18 million last year, said Manjith Kamalasanan, a business development manager at the company.
Evolving Industry
Qburst has developed 150 mobile apps for customers in the U.K. and U.S. That includes an iPhone app for St. Albans, U.K.- based PrivateFly, which allows users to search for and book private jets; an e-commerce iPad application for Simba Toys, and an iPhone shopping search application for thefind.com.

No comments:

Post a Comment