[usrusr]

True, but outsourcing hardware components and outsourcing software aren't the same. Even when the hardware is actually very software-heavy, and designed to super specific requirements from the buyer, in the eyes of the supplier it's still a product. But outsourced software invariably becomes a project, with all the incentive misalignment that's implied by the term "billable hours". Even when that's technically not how the contract is set up.