The Outsourcing Upstarts

Parts of Eastern Europe, Africa, and the Middle East are vying to become new offshoring hubsand nudging aside established players

In 2000, when employment-screening service provider HireRight was looking for a low-cost locale for software development, the Irvine (Calif.) company turned to an unlikely destination: Estonia. The Baltic nation hasn't traditionally been thought of as a hotbed of tech talent, but it presented HireRight with a pool of well-educated, tech-savvy workers; a modern telecommunications infrastructure; and costs that were 2.5 to 3 times lower than they'd find in the U.S. "It's very easy to do business in Estonia. We didn't have any roadblocks at all," says Stefano Malnati, vice-president for engineering at HireRight.

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