Many of us involved in China outsourcing have been a little envious of our competitors from India.  At times, their success seemed almost unbelievable.  Apparently, it was not to be believed.

According to the Wall Street Journal: (Sorry, subscription required, but the story is pretty much everywhere).

“The admission by Satyam Computer Services Ltd.’s chairman that he concocted key financial results sent shockwaves across the information-technology sector, raising questions about how the scandal will affect the company’s customers and rivals.

B. Ramalinga Raju, founder and chairman of one of India’s largest IT companies, resigned Wednesday after admitting to falsifying company accounts and inflating revenue and profit figures over several years, sending the company’s shares tumbling and triggering a probe by India’s capital market regulator.”

It will be interesting to see whether this scandal has any impact on the trust relationships that the Indian outsourcing industry has established with its clients.  One hopes that news like this will encourage more companies to consider the very viable alternatives available in China.

Technorati Tags:  China, China Outsourcing