What are your thoughts on outsourcing from a South American country? My dad's friend runs such a company from Argentina, and he told me about how it works. They'd essentially be working in the time zone (even though they are a bit ahead, they start and end work later).

I LOVE that idea. Keep India on for "follow the sun" support, but shift to a low cost model in the same time zone. I can't convince my employer to do this yet, unfortunately.