“Depress salaries” == “Now the person in the middle of Nebraska can make more than he could make before without moving to California”
I don't live there anymore but in my home county in Eastern Europe, the WFH boom from 2020 brought in thousands of well paying tech jobs from US companies which might have never arrived if not for Covid. Tech workers there are making bank now, relative to local CoL.
Who knows, maybe this trend will accelerate now that the tap of zero interest money which enabled companie to out-bid each other for SV labor has dried out and many start-up and scale-ups need to actually be profitable for a change, they might look towards skilled remote workers abroad to fill their ranks till the next bull run.
Interesting times ahead indeed.
The problem is more about the company/organization that is doing the outsourcing than the outsourced work itself. You have to have a clear definition of what you are trying to outsource. Is it "just coding"? Is it "some design, but not analysis"? Is it "do everything below a certain level of management" (the worst)?
If you don't know what you want other than "cheap" then you won't get either of the other two qualities of "good" or "quick".
Developers aren't fungible, neither are designers, or analysts or architects. About the only people that are fungible and easily replaceable are project managers (sorry, buzzword compliant "product owners" and "SAFe scaled Agile practitioners").
But also many of our contracts have data governance requirements where you have to be US based and other government contracts require you to be a US citizen.
Drawing from a worldwide pool of capable technologists is pretty obviously the end state and, unless global demand picks up by a factor of over 10x, that will inevitably depress tech salaries in the currently most highly compensated markets (while raising salaries on the other end of the distribution).