Offshore web application development has witnessed a drastic rise since the advent of recession in 2008 which broke out in the US. Computers remained idle due to the cost-cutting phase while the owners realized that it was difficult to get things done in the country itself. Many companies in the western countries realized that outsourcing IT and non-core tasks are their only chance to get back to profitability. Nowadays, there a plethora of companies who are actually working with offshore software development companies and there are many others who have outsourced most of the work to India or China. There have been instances when some companies have burnt their fingers due to software outsourcing. Nevertheless, the low costs involved works as an added incentive for most firms.
If we talking about outsourcing benefits most of the companies usually use their own infrastructure and hardware and even their own workforce for providing the services. There are no overheads involved due to hiring of workforce, installation of applications or hardware. Most vendors in India and eastern countries are good in communication and collaboration. Moreover, there are companies who are willing to work round-the-clock which gives the US companies an advantage of a 24-hour working schedule and virtual workers for the whole day literally.