On a somewhat related note (involving reading, President Bush's current lack thereof, and the outsourcing of the illegal reading of your private electronic or voice conversations as American citizens), READ THIS.
To some, it's just the same old song and dance, just as when the US government embraced the idea of the "military-congressional-industrial complex" not as loony conspiracy theory but as a business plan and outsourced the building of military hardware to private defense contractors. They then outsourced the military advisors, and now they're looking at the intelligence. It's one thing to outsource the people who follow your orders or give advice, but it's another to outsource the people that actually provide you the data, faulty, politically-motivated, or otherwise, that actually leads to war.
So get this, here's a likely scenario in our future Uneducated State of Ameri-duh: a private contractor, hired by the government to decode intelligence and under pressure to "cut costs" (so to charge only 1.9x what a government employee makes, instead of double), decides its "core competency" is not really intelligence analysis per se, but the delivery of analytical services. And since they need some sort of developing-world interpreters to decode the intelligence, because all of the people at the contractor are American-educated businessmen with little to no knowledge of any language besides English (and a tenuous grasp of that language to boot), they outsource the analysis right to the source.
So imagine having a Chinese analyst, probably in China, decoding intelligence that helps the US determine whether or not we go to war with China over Taiwan. Or, alternately, selling their knowledge to the highest bidder in the Chinese government (not that they don't already, but why make it even easier for them to do so?).
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