These are all valid points, but I think you're overstating the case a bit. Certainly, IP creation should not be routinely outsourced, but it can be outsourced in limited cases to the benefit of the organization.
I think there's a common misperception that outsourcing firms charge higher rates because their resources are (supposedly) more technically proficient. But, at least at my company, this is rarely what's going on. Most of my clients have excellent technical staffs. Our clients hire us in part, of course, because we are talented technologists, but the larger part, I believe, is because of our ability to acquire domain knowledge rapidly and our ability to retain that knowledge over long stretches of time when we aren't actively involved in the development process. Finding a comparable resource to hire or contract is so onerous that it doesn't make sense when what the company really needs is to achieve a goal now.
In other words, any product development company worth a damn hires as much for business acumen as it does for technical acumen. Otherwise, what would be the point?
I think there's a common misperception that outsourcing firms charge higher rates because their resources are (supposedly) more technically proficient. But, at least at my company, this is rarely what's going on. Most of my clients have excellent technical staffs. Our clients hire us in part, of course, because we are talented technologists, but the larger part, I believe, is because of our ability to acquire domain knowledge rapidly and our ability to retain that knowledge over long stretches of time when we aren't actively involved in the development process. Finding a comparable resource to hire or contract is so onerous that it doesn't make sense when what the company really needs is to achieve a goal now.
In other words, any product development company worth a damn hires as much for business acumen as it does for technical acumen. Otherwise, what would be the point?