Software development offshore countries

Other countries in Asia, such as Vietnam, Malaysia and Indonesia, are also gaining ground and offer similar software development services. Low offshore software development rates in Asian countries often come at the cost of poorer project quality.

Adverse work conditions, cultural differences, and disparities in time zones have a negative cumulative effect on the correspondence and result in decreased quality. Asia boasts a vast tech talent pool — more than 10 million developers. The offshore developer rates in Asia are shaped by various aspects and can differ a lot from country to country. Latin America is the most popular overseas software development destination for North American tech companies.

US companies primarily outsource software development due to considerably lower software developer rates that cut the cost of product development. The negligible time difference is another good reason why American businesses seek cooperation with Latin American software development companies. Also, Latin American countries are the most geographically close to American clients, which makes Puerto Rico, Brazil, Argentina, and Mexico very convenient outsourcing destinations.

This is caused by a comparatively small talent pool of software engineers in African countries. Hire Developers in Ukraine. Ukraine is a great country to hire an offshore developer for several reasons. Among other benefits are the speed of hiring and the lower cost of developer attraction.

Sink your teeth in our guide to outsourcing to Ukraine to get even more useful insights. That makes it extremely attractive to Western European companies sharing the legal and geographical space with it. Fun fact: apart from its own IT graduates, Poland is constantly growing its talent pool by headhunting the best engineers from Ukraine. As many software outsourcing companies operate on both polish and Ukrainian markets, they can easily relocate engineers to the country with the higher living and software development cost.

More about software development outsourcing to Poland. At the same time, the ability to build safe relationships with your offshore developers is an even more essential parameter for choosing an outsourcing region.

For your convenience, we combined the average hourly rate for software developer talent in other Eastern European countries with an Index of Political Stability and Ease of Doing Business according to The World Bank. More about risks of working with European developers.

As predicted by Ricardo Villate , vice president of the consultancy for the region, the IT market reached 4. More about offshore software development in Latin America. Brazil is one of the leading software outsourcing countries in Latin America and South America. According to an earlier study by Agile Engine , Brazil is the country with the greatest number of software engineers in the region — over , Additionally, Brazil is in second place among the top 50 digital nations in the Tholons Services Globalization Index More about software development in Brazil.

Despite the fact that Brazil is the biggest country in South America, and consequently has the biggest talent pool, more often companies prefer to refer to other Latin American countries in their search for engineers.

The simple reason behind this is that Brazil is the only country with a population speaking in Portuguese. While the rest of the continent uses Spanish. One of the most popular countries for nearshore software development is Mexico which is close to the United States, has developers that are used to working with US clients, and perfectly understand their business culture.

The second and third offshore development countries of the region that we want to mention here are Argentina and Panama. More about nearshore software development in Argentina. The latest data shows that the average software developer hourly rate in Latin American countries is higher than in Eastern Europe, while stability scores are lower. A pioneer of software outsourcing, Asia boasts the biggest number of offshore software developers as compared with other regions.

In , only in India, this number amounted to almost 3 million. China is also an attractive offshore development destination. Chinese developers are the first across all HackerRank challenges. The Chinese government supports the tech sector by offering economic incentives. For example, now there are more than 50 science and technology industry parks across the country. India is the leading software outsourcing country in Asia, also being a top digital nation in the Tholons Services Globalization Index Indian software development companies are known for delivering one of the most cost-efficient outsourcing of web development processes.

In , India was nominated as the second country in the world with the greatest number of STEM graduates — 2. More about software developers from India. At the same time, the situation with the political stability of this region is way worse than the previous region has. The offshore hire rates in other Asian countries are as follows:.

The recent data shows that the software engineer hourly rate in African countries is significantly lower than in any other outsourcing region. But for this, you will pay with the higher risks as this region has the worst stability index. Therefore, hiring offshore developers is the most cost-effective decision, because the cost of living in offshore countries is lower than in the US or Western Europe.

Even in outsourcing to any of the best countries to outsource software development, each company still needs to answer why it must outsource any of its software development projects. After all, no serious companies rely simply on fads to advance their business. In this case, it is usually better to outsource and particularly to one of the top offshore software development countries.

According to Statista, the top reasons why countries outsource IT services worldwide include the following:. A more critical question, though is what makes the difference between offshoring, especially to one of the best countries for offshore software development and nearshoring? What advantages does a US-based company stand to enjoy by outsourcing development to India or Ukraine offshoring instead of Canada or Mexico nearshoring?

These questions are answered in the next section. It is not enough to know the best countries for offshore software development. It is more important to first determine how offshoring can help your enterprise. We all know that there is a massive skills shortage in software development and IT in general.

However, despite this shortage, most of the best offshore software development countries have attained that status because of their abundant talent. Therefore, if your goal is to find affordable, available talents for a particular project, you would almost necessarily have to transfer the project to a vendor who is based far away.

More so, offshoring to any of the best countries to outsource software development is a great way to overcome hiring hassles. If your company is innovative and globally-minded, then outsourcing to a faraway country, more so one that is among the best countries for outsourcing software development helps them to achieve their motives.

Offshoring gives a company access to not just developers abroad but also to their unique knowledge, experiences, and approaches, which they bring to bear when working on your project.

Therefore, for companies that are planning an international expansion, hiring an offshore vendor is a great way to test the waters and see how their product would do amongst the international community. These peculiar experiences of their developers abroad would help them to gain more innovative input and insights in developing their software product. People often tout the differences in the time zones of the countries involved as an argument against the offshoring model being efficient.

Indeed, it can be a challenge if proper management is lacking. Otherwise, the differences in time zones present a great opportunity to accelerate a development process and improve its time to market, especially if you outsource to a vendor located in any of the top offshore software development countries. If an offshore dedicated team maintains a considerable relationship with the on-site team, both parties can ensure round-the-clock development such that the work hours of one side would fall to the rest hours of the other and vice versa.

This means, therefore, that at almost every hour during workdays, the development process is not entirely paused. More so, meetings can be fixed at convenient overlapping hours in order to coordinate the process and ensure better integration. Indeed, this is one reason why many more companies are now embracing the idea of outsourcing to the best offshore software development countries.

Ukraine, and generally countries in Eastern Europe, for instance, is one low-cost option for offshore software development, particularly because the cost of living is low; so, developers there do not charge as high as developers in places like the US, German, France, etc.

In addition, by taking your software development process to professionals located offshore, you can avoid the labor costs, fees, and regulations prescribed by your government in order to optimize your budget better. It is always best to choose developers who speak the same language as you do in order to ensure that the development process goes smoothly. This creates a wide communication gap. It is common for developers in a region like Asia to prefer their local languages to more common languages like English.

This is not so in Ukraine, which is also rightly one of the best countries for outsourcing software development. Although the native language of most Ukrainian citizens is Ukrainian and Russian, most professionals in the IT field go on to acquire a good proficiency in English in the course of their education, placing them ahead in the global talent pool for IT and software development.

At least, all our developers at ProCoders are proficient in speaking and writing English. The same applies to many other Ukrainian developers. Be prepared to face legal challenges when outsourcing your software development project to even the best countries to outsource software development.

Particularly, there is all likelihood that the legal landscape of that country would be quite different from yours, especially in terms of registration, fees, taxes, benefits, and other compliance issues.

This is even truer if you are hiring a software development agency. More so, there might be some legal obligations applicable to the country of the client as well if receiving labor from abroad. All these must be fully settled before the offshore development process kickstarts.

Legal areas of business and work can get very messy and result in heavy sanctions. Both the offshore development company and the client company must go over every legal requirement to ensure that they are fulfilling all the obligatory compliance conditions. Even in the best offshore software development countries, you should still expect some legal issues to be solved. However, over the last few years, we have found out there is a disruption among the top offshore software development countries.

In this article, we will mention some of the best offshore software development countries and how this would help you make the right decision. Software outsourcing is growing in popularity among businesses of all shapes and sizes. Two factors drive the trend toward offshore software development. The second one is obvious — you can hire many different programmers to complete the tasks faster.

Before we discuss the best countries for outsourcing software development, we need to mention something of high importance. When you outsource, you recognize that a different company has the knowledge and resources to help improve your business.

Outsourcing is an essential model for small businesses that may not have the expertise to handle certain projects on their own. By outsourcing to a third-party company, your organization is essentially tapping into an infinite reservoir of experts in all areas of business.

References are available upon request. On the other hand, offshoring implies that the company outsources work to companies located in different countries.