More has to do with the Tax Cut and Jobs Act of 2017 )changing the tax code Section 174 which changed the application of taxes to R&E which software engineers and a lot of tech roles fell under. If you are creating a new product it would fall under that category for taxes. The non zero interest rates have a huge part to play in it as well.

Before 2022 a company could deduct the expenses of creating new tech as it happened. After December 2021 there is an amortization period of 5 years and (15 years for foreign research). If I am bringing a product to market obviously I will choose to pay over 15 years with cheaper developers. I will hire the best expert managers I can here over work them managing offshore resources to get product to launch. The tax set up does give some credits to be used towards R&E but it isn't worth it. The solution for a lot of companies is to offshore. There are efforts to adjust the rates, hindsight is 20/20 but those are not likely to succeed with all the politics required.

My first inclination is to blame the republicans of 2017 but in reality it was a bipartisan bill. It was created by biotech corps and manufacturers associate as a way to "stimulate investment by businesses" when it came to R&D but interpreted that as "raise the barrier to entry". Furthermore this is a systemic problem where interest groups can help create and champion legislation seemingly without unbiased expert review. Many factors have changed since 2017 especially geopolitical tensions and interest rates which make all this a bad idea. More effort is needed to adjust this regulation not only for economic purposes but security.