Yes, isn't that possible with direct hiring instead of paying more to go through outsourcing firms? My understanding is that roughly $500 monthly puts an Indian in the middle class. Double that and I figure we would be really attractive to young, entry level programmers.
Those outsourcing firms usually pay between $300 to $1,000 to developers. They usually hire bad programmers who do not understand fundamentals and write spaghetti code from an ancient era.
This salary isn't attractive to good programmers any more.
Maybe not in America but India's different and remember, smart phones made in third world countries have different markups since manufacturing is cheap and nearby.