Software Engineering and Outsourcing is slightly getting a new route. Until now, predominantly there are two ways of outsourcing jobs - outsource to a services company in India or set up a development center in India. Many companies follow both ways. They outsource part of work to few Indian IT services company and another part of the work to their India Development Center.
There is a good amount of traction in another form of outsourcing. The smaller companies which do not want to set up development centers because of higher operating costs, outsource work to individuals who can work from home. This is totally different from outsourcing to a different company. These employees are part of the company's payroll. Each of them have been given high speed broadband connection, phone and other gadgets to work from home. They setup a home office and work in US/European timezone. No, I m not talking about data entry jobs. Now, the companies recruiting software developers, testers, documentation specialists and even Engineering Managers. Many companies that are in open source are doing this quite well. As the technology improves, I strongly feel that the others to follow and this is going to be "the way of truly global organization". The days are not so far apart to reach there.