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Outsourcing Consolidation on the Way?

Posted by Susan Hall Oct 21, 2009 4:39:46 PM

Outsourcing industry observers are just waiting for the next merger between vendors to happen, reports Computerworld.

 

There's  no question that it will, according to Mark Robinson, chief operating officer for outsourcing consultancy EquaTerra. It could make things iffy for customers for a while, though he says:

Overall, consolidation tends to concentrate quality and spark innovation. However, these benefits to the industry come at a price, and that price includes a reduction in competition and an increased -- albeit transient -- risk of service-quality disruption. The next 24 months will be a period of relative instability in the industry, and you should expect to see other big names make their moves.

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