The Wall Street Journal reported recently that Indians "on the right side of the digital divide" are reaping the benefits of their training not just in the US, but also at home.

In contrast with past scenarios where talent was lured by high pay and perks abroad, "soaring local salaries reflect a growing shortage of skilled workers at home, just as Indian companies are emerging as global new economy players," the Journal reports.

At the same time, policymakers note, only one-tenth of the billion-strong population in the country might make the big bucks in the IT revolution.

In contrast to China where "a steady stream" of techies are finding their way home from the US, "only a trickle of expatriate Indians have come home to stay". Barely one or two of every 1,000 professionals who leave India actually come back.

More than 50 per cent of Indian engineering graduates leave the country for the US every year, according to the ministry of information technology, the Journal points out.

In some cases, Indian hi-tech companies find it cheaper to hire talent from abroad, like China, than pay local professionals. Infosys Technologies has managed to keep its turnover rate at a relatively low 10 per cent as a result of the "cocoon" like atmosphere it fosters within its walls, providing first world comforts and infrastructure in a developing country.

- nriol.com report