BANGALORE, India -- Microsoft Corp. denied yesterday that core development work for Longhorn, the next version of its Windows operating system, was being done by contractors in India.
Earlier this week, the Washington Alliance of Technology Workers (WashTech) in Seattle said that it had learned from Microsoft's internal documents that the company was outsourcing core development of Longhorn to Indian contractors.
WashTech's opposition to outsourcing to Indian contractors misses a key point, which is that Microsoft is offshoring key product development to its own software development center in Hyderabad in South India, according to analysts who added that in either offshore model, the high-end work moves out of the U.S.