There are extremely talented Indian engineers, but I don’t think this discussion is about the elite “cream of the crop” but more so the rank and file.

I have been assigned to lead offshore teams with engineers that need direct guidance on very basic coding tasks, produce low quality code and become combative when receiving feedback.

So many times I’ve reviewed and requested the same changes to code, classic example: a try/catch then completely ignore a caught exception, just to get some code “working” for the example inputs. When I call this out as a problem, it’s met with “well you did not say that in the specification, I have completed what was asked”. Another commenter had a similar anecdote where all input validation was removed to get test cases passing… are we expected to write things like that into a work spec? Seems like this would take longer than for me to write the damn code myself

There's gotta be something between Satya and "C-tier code out of rural India".

There are of course lots of bad coders in India, but there are also many really good ones. And whereas in the past they had to emigrate to US or Europe to fully make use of their talents, nowadays some(many?) choose to remain in India and work remotely. It's silly to dismiss and underestimate their skills.

As far your experience with developers that follow the specs literally, in an almost maliciously compliant way, that might be learned behavior from working on projects where the tasks are spec-ed and estimated and any attempts at going above and beyond ultimately result in late delivery and punishment, so developers quickly learn to only do the bare minimum of what is described. Granted your examples are extreme and pathological, so maybe you just had the misfortune of working with really bad people.

Additionally, unless you pick the developers yourself, you're at the mercy of the agencies who assemble those offshore teams, and often the economics are such that it doesn't incentivize them to hire the best people available. From my experience, many good developers find work on their own, outside of an agency, contracting directly with the remote company.

Those talented indian engineers are paid on the global market rate though. The logic also goes the other way, those don't want to be underpaid.

That's why these outsourcing threats from companies make me laugh, they don't understand that software is a global market and they also are competing in it.

The world class FAANG-level Indian engineers which are underpaid just do not exist.