Outsourcing is definitely a good idea, it would be great to see games from other developers in other countries as there are great ideas all over the world and they shouldn't have to travel to specific regions for the ideas to come to fruition. The gaming market has become stale in many areas, and that's why the Wii was such a welcome change. It was new, it was different and provided us with something that we hadn't seen in this way before. But in saying that, the lack of third party titles has really brought the console down in a lot of ways, developers aren't willing to put much effort into their Wii titles as they know they'll make a profit if they make the games cheaply, but that often means making the games unimaginative and dull.
But kspiess is right, bigger budgets mean less risks, but then smaller budgets can often mean suffering quality. A middle ground needs to be had, and I think a great way forward is games funded by gamers. I recently saw something on the news (in Ebgland this is) about three guys who want to make a film based on some old book. They need a million to fund it and their genius idea was to sell film credits. You buy a credit, get your name at the end of the film under 'Producers' and they get to make their film. It has celebrity backing and I'm sure it's well on it's way to making a good amount of that budget for the film.
Why don't smaller devs do this style of thing? Pay an amount of money and get a credit, or send a pic too and you get your face in the game somewhere, maybe in a background image or as a character. Smaller ideas become bigger one's this way, good games are made cheaper and maybe big publishers pick it up when it gets enough interest, they're getting a cheaply made game, making up the rest of the budget, spending less than usual on marketing and making a tidy profit on any platform.
We can start seeing games from less likely places, from smaller, tighter teams. Of course, this doesn't solve the problem of job losses in the current game market, but it opens up a lot of fresh stuff and a lot of opportunities for those who don't have work right now.