Predictions Come True – Private Equity Enters Outsourcing Market

As I predicted in my trends release in December 2006, the opportunity exists for private equity to force change in the large, domestic outsourcing companies. 

Now it’s starting to happen with the ACS announcement today.

We have been predicting that there would be two to three major events this year, driven by offshore cost pressures and consistently narrow margins of providers such as ACS.

Question remains will there be two or three more major moves in the outsourcing market this year?