Indeed. I'm working with a company here in Uruguay that can give you a pretty good website (with CMS, e-commerce and whatever you need) in 3 days, for probably a lot lower wage than the grandparent poster. And they complain (rightfully) that they can't compete with India shops.

What's his added value? In an Internet world, all such work where the customer doesn't see his added value (other than "buy american" or some such) should go to the country with cheapest skilled labor. Unless he's working in person and gives that as his added value (neither the Indians nor my Uruguayan friends will be able to compete then).