Most of the European and US outsourcing firms have ranked India as their number one outsourcing destination. The National Association of Software & Service Companies (NASSCOM) has also reported that nearly 50% of all Fortune 500 companies choose to outsource their projects to Indian firms. India has managed to outmaneuver China, Mexico, Ireland and Philippines in emerging as the top outsourcing destination.

India has outsourcing favorable government policies, fast developing infrastructure, and an immensely talented pool of workforce, which is responsible for a tremendous growth rate of 25–30% in the Indian IT outsourcing industry. India remains unmatched with regards to its vast pool of skilled and talented workforce and around 3.1 million graduates are added to this workforce each year. India is the largest English speaking nation in the world, larger even than the US and UK combined.

India offers competitive pricing option and significant cost savings that companies can achieve by outsourcing. India remains a top outsourcing provider is due to the wide gap that exists between personnel costs in India and that of the developed countries. For example.in the U.S, a good developer could cost anywhere from $50 to $80 an hour However in India the same resource could be negotiated to as low as $15 per hour.

India outsourcing firms provide consistent high quality services which enables India to remain as the top outsourcing destination. The National Outsourcing Association (NOA) in its Annual Offshore Outsourcing Conference has acknowledged the trend commonly seen among International companies who choose India as their preferred outsourcing destination. "Cost reduction was only part of the reason that companies were considering offshore outsourcing, there were benefits to be had in time-to-market and quality, leading to an adage that companies initially chose India to save costs but stayed for the speed and quality!"

India boasts of the best in the Infrastructure and technological capabilities. Modern India is well-developed and offers state-of-the-art telecom, ISP, and cellular networks in all major cities and towns. Clients are offered the latest and best in software technology, including customized solutions for various applications such as e-commerce, business process re-engineering, system migration, legacy system maintenance, system integration, and much more. Outsourcing companies also maintain uninterrupted communication channels with clients by providing high-speed bandwidth via satellite connectivity, submarine cables and fiber optic networks.

The Indian Government is stable and offers attractive IT policies. The Indian outsourcing industry is supported by a stable pro-IT government whose policies on the economy, GDP growth, taxation, power, telecom, industrial parks and special zones have been helpful in improving infrastructure as well as communications systems. IT is regarded as one of the top 5 priority industries in India, and the government has framed policies to provide maximum benefit from IT outsourcing to India. The government has offered its support to the IT industry by providing various tax-related and other benefits and by enacting the Information Technology Act, which recognizes electronic contracts, bars cybercrime, and supports e-filing of documents.

Indian outsourcing companies are able to provide the quickest time-to-market due to the advantages gained by time zone differences. The 12-hour time difference between India and the USA provides companies with numerous opportunities for work to be completed earlier than expected, leading to greater efficiency, increased productivity and more time to focus on other crucial tasks. The time difference makes India an ideal option for clients who wish to outsource various service-related options, such as 24X7 Customer Support and Helpdesk services. India the most preferred global destination.

India continues to remain the world's favorite when it comes to outsourcing. It has gained global confidence with major players such as Cisco, Oracle and Hewlett-Packard opts for India because they are confident of gaining access to superior talent, quality results, fast turnaround times and low costs.

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