Top 5 Offshore Outsourcing destination in US

October 5, 2016 6:21 pm | Updated 5 years ago.

5 Metros of US indulged in offshore outsourcing

With jobs and economy ranking as top election issues, the candidates to the Presidential election along with the entire American genre is zeroing in on offshore outsourcing. Critics are debating and analyzing the pros and cons of offshore outsourcing. As the debate rages on D2e Insight investigates the offshore outsourcing statistics. Offshore outsourcing has often been looked down upon but people failed to value the investments that often come to the US shores. Moreover, offshore outsourcing also generates a huge amount of investments. A recent study conducted by Statistics Brain brings forth the top metro areas in the USA who frequently outsource their work to an offshore location.

The top five metro areas that indulge in maximum amount of offshore outsourcing are:-

  1. San Jose – This city in California is an offshore outsourcing hub where about 18% companies outsource their work to an offshore location. It is a major technology hub situated in California’s Bay Area. It is third largest – city by population in California. It is also famously known as the “Capital of Silicon Valley” owing to its growing technology-based industries that mainly consist of engineering, computer, and microprocessors. The top companies in this area are CISCO Systems, IBM, Adobe Systems Inc, Hewlett- Packard to name a few. Apple Inc is also planning to open a research centre in San Jose in the coming few months.
  2. San Francisco – Occupying the second place which opts for outsourcing is San Francisco at 16.5%.Apart from being a famous tourist destination, it is also the headquarters of five major banking institutions and many major companies like, Mozilla, Twitter, Uber, and Dropbox to name a few.  San Francisco has also been ranked as one of the top most livable cities with a high economic growth.
  3. Boston – IT is the third metro area in the USA where more than 14% of the companies are engaged in offshore outsourcing. Boston is also considered to be in the list of thirty most economically powerful cities in the world. The city houses a number of technology companies apart from being a centre of higher learning in the field of law, business, medicine and engineering.
  4. Atlanta – The most populous city in the state of Georgia, Atlanta, is well-known as a “world city” where more than 13% companies outsource. The city also has a great impact on commerce, finance, research, and technology. It is also the hub of Fortune 500 companies and the region has been nicknamed as ‘Silicon peach’ due to its growing technology sector. The headquarters of Coca-Cola Company, AT&T Mobility, and Delta Airlines are located in this region.
  5. New York – Popularly known as the most economically powerful city in the world and the leading financial sector, about 12.5% companies in this area are engaged in offshore outsourcing. Apart from housing the New York Stock Exchange and NASDAQ is the most important commercial banking centre in the USA. Situated on the banks of the river Hudson, Silicon Alley in New York has evolved as the basis for technology-based entrepreneurship ecosystem.


The other important cities that engage in offshore outsourcing are Chicago, Houston, Los Angeles and Detroit. The maximum number of jobs that are outsourced are that of computer programmers and software engineers. This is because a number of companies are opting for digital transformation and gradually moving to the clouds. Accounting jobs and litigation jobs are also being outsourced to an offshore location. The sector that relies heavily on offshore outsourcing is the manufacturing sector where more than 53% of the companies are involved in outsourcing followed closely by IT Sector and companies involved in R&D.

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