H1-B vs. Off-shoring

Why do we need to increase the pool of H1-B visas? Since cheap talent/labor is the goal, why not just move the work off-shore? Or, is the pent-up demand for H1-B visas a tacit admission that having bodies in-house is far preferable to off-shoring for a number of reasons?

Dr. Frederick Young has another insight about H1-B visas expressed in U.S. Students Discouraged:

"Those who want to increase the number of foreign workers are looking for cheap labor and aren't helping our national security. If they want more good IT professionals, let them pay better wages!"