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The last two decades have witnessed an unprecedented flow of services toward Asia. India, in particular, appears to have been the chief beneficiary for qualified services. According to the A.T. Kearney Global Services Location Index, 2011, India ranks highest as offshoring destination. Given the immense poverty of a large percentage of the population, it seems worthwhile to inves-tigate how India managed to become a solicited provider for high-tech services. However, there are alternatives for investment. Other Asian nations court investors with lower prices and an improving quality. Among them is China that attempts to supersede India as most popular service offshoring destination. Where will be the back-office of the future?

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