There's a bit more to this than meets the CNet eye ... the savings to the state from outsourcing this would have been minimal at best, but the real problem was that the bidding was set up to essentially force the work overseas. Local firms were just chopped off at the knees, despite (as rumor has it) two bids that were actually lower than the "winner". The investigation into how this came about is just getting underway - I wouldn't be surprised to see some conflict of interest somewhere along the line.
It didn't help, politically, that the systems to be outsourced were for unemployment insurance!
But hey - somebody local is gonna get some work! And around here, that's a good thing!
Indiana nixes offshore deal to protect jobs. The state of Indiana calls off a contract for software development it awarded to a foreign company, in a move the state says is aimed at safeguarding local jobs. [CNET News.com - Front Door]
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