former yahoo employee

Yahoo Downsizes in the U.S. and Hires in India

The quality of labor in India has become really a question. Yahoo can reduce the cost for a short term - year or so. But is also can reduce the cost cutting the growing number of employees coming from India to US that are feeling up redundant structures.
I am not trying to point that laborers from Indian are not good workers or lack mental ability to finish/complete the job rather 'doing the job'.
What I am trying to point that large corporation, as Yahoo as an example, has been at the stage that redundant structures are already taken place and performance as well as quality of work had been reduced dramatically, as well as moral aspect of the company.
Therefore, moving projects or support to India won't really help to solve the problem to get back competitive and flexible high tech company.It has become bureaucratic and highly political organization. Whether it will be adding workforce in India or USA - irrelevant. if the goal is to cut the cost versus optimize on investment into existing employees - it is already unhealthy not only for moral in the company but also will reduce creativity and open minded thinking - which made Yahoo as it is nowdays.
Based on my experience, the amount of work that can be done in USA for 1 months can be done in India for 18 months or longer with less quality and control of possible enhancements. Overall, any product development, not support, will cost company much more $ than if it would be handled in USA.
Another side of the coin that , and I hope I am not inventing the wheel, companies that have been moved to India have no other than Indians in the hierarchies of work force in USA.
That also have significant impact on creativity, productivity, career growth for employees that are not from India. I would like to underline that I have nothing against India and most employees from India that I had a priviledge to work with were very professional and educated people but it becomes obvious for last 10 years that groups led by Indian define race criteria, i.e. Indian versus any other race, when hiring or building the team.
I have nothing against Indian race or people from India.But I think when company, like Yahoo, have started moving groups to India it won't solve the problems inside the company - it can only increase those issues as well as will have direct impact on overall productivity not mentioning the opportunity for employees,not Indian decent, to grow in the company.
Overall, companies that have moved to India, had reduced the salary per employee but I doubt that they have reduced the overall cost, including the cost of infrastructure and networks.
Yahoo is definitely is under the high pressure to restructure and eliminate redundancy. But instead of doing it by eliminating redundancy and increasing quality of workforce in USA, it looks like it has been doing the commonly expected 'things' which are not good for a long term business. and of course, Yahoo is neglecting the most valuable investment - keeping professional employees onboard.

Yahoo's Future: The Employee Perspective

YAHOO AND MS have different technologies - not just different but no way it could be integrated . MS won't keep java or Oracle or file systems data processing built on top of Open Source code.
Who will survive - middle management and upper management.
Who will be replaced - developers and technical leads unless they will pick up Program management positions.
Employees will leave , lots of employees will be 'replaced' and layoffs will continue.
But there is not other way for Yahoo that is losing the revenue based on lots of ad serving redundant systems that can not work together by many reasons.
Yahoo MUST BE SOLD - it can not be rebuilt. That is the bottom line.
Board of directors will be much richer, employees is that who will be in an insecure territory.
MS will buy Yahoo. Yahoo will be cut by half. Then it start to grow and many employees will be returning to new MS corporate culture to redevelop and repair damage that had been done during 'transition'... in 3 years advertisement systems and search may start working as they do now but under MS umbrella.
Overall, MS will gain the presence in valley having not only struggling hotmail team but Search and Ad serving company with 10k employees. I can bet that it will go in 3 years to 20k employees as many Live and other Platform MS groups will move to Valley... Strategically, it is THE VERY SMART MOVE FOR MS - kill yahoo as competitor and get started 'occupation' of MS software in valley as well as killing redundant and money spreading structures inside MS - ad center, MSN, MSN live, Hotmail and etc... MS employees also would be 'transitioned' but won't lose jobs as Yahoo's ones. As techy guy I don't like MS software but I am applauding the strategic thinking of Mr. Gates and associates.