Information Technology outsourcing includes using vendors and service providers to deliver IT powered business processes, infrastructure solutions, hardware, and application services. Fundamentally, software outsourcing involves contract work in portions to outside suppliers, generally to reduce the cost, effort, and also when companies are not able to find the right talent in their countries.
IT outsourcing has doubled in the last two decades and was a USD 92 billion industry in 2019. When it comes to picking an emerging competitor country for your application and software outsourcing, top 4 destinations mentioned below could be handy, in addition to the common overhyped ones that you already know.
Partnering with these countries will help you to execute your business idea with cutting edge technologies, benefit your organization from reduced development costs and deliver solutions at a faster pace.
Top Vendor Countries for Software Development Outsourcing
1. Vietnam
By outsourcing your software development to Vietnam, you get the opportunity to work with a growing economy that has the lowest cost of software developers around the world. This country provides 15%-33% cheaper development services compared to India. India leads the market share in outsourcing offshore development, Vietnam is quickly emerging as the third option preferred for software outsourcing after India and China.
Offshore development includes website design, mobile application, website quality assurance, user interface (UI) design, and user experience (UX) design. The country’s developers have also shown keen development skills in blockchain, eCommerce, payment apps, and on-demand video applications. It makes a lot of sense in 2020 to outsource your software to Vietnam.
Vietnam has a majority of young workers with technical graduate and postgraduate degrees. Vietnamese generation has also utilized the true potential of communication and is now well-versed with the English language. The country is all set to offer global competition in the software outsourcing arena. However, the country’s developers are not well-versed with PHP and backend languages.
Developer Salaries – Avg. Salary – $6000-$18000
Pay per hour – $5 Average
English proficiency – #52 of 100 countries
Low proficiency, EF EPI score 51.57
Position in Asia #10/25
Time Zone – Indochina Time, Vietnam (GMT+7)
2. Turkey
Turkey’s IT Market size was estimated to be 117 billion TL or $19 Billion in 2017. Approximately $1 Billion in exports were made in the ICT (Information and Communication Technology) sector. The country has more than 71 modern technoparks with numerous certified companies. The government is continuously investing in the ecosystem and supporting companies focused on technology R&D.
Turkey companies have shown particular interest in development areas focused on Cloud computing, Artificial Intelligence, Machine Learning, Blockchain, and Cybersecurity. The Turkish software engineering community is vast and young. The country is optimistic about their software development initiatives and is hoping that it will save Turkey’s economy. Country’s politicians keep boasting the policies and government initiatives to boost youth’s morale and are also explicitly mentioning Turkey being the next Silicon Valley.
Developer salaries – $2000-$7000
Pay per hour – $2
English proficiency – #79 of 100 countries/regions
Very low proficiency, EF EPI score 46.81
Position in Europe #32/33
Time Zone – GMT+03:00
3.Malaysia
Software development companies in Malaysia are rapidly increasing their portfolios and gaining market share. These software development companies’ portfolios now include web design, web application development, mobile application development, desktop application development, and software maintenance. Many software companies in Malaysia offer a full-fledged portfolio of agile software development service offerings, from the application and web development to visually appealing interactive apps for iOS and Android.
Malaysian software development companies are working with technologies such as PHP, Java, .NET, Android, iOS & Windows Phone, XHTML, JQuery, and HTML. However, there is also a shortage of the following particular skills, JAVA / J2EE, SharePoint, Biztalk, ASP.NET, Android, iOS, Agile, PHP, C++.
Developer salaries – Avg $12,355/Annum
Pay per hour – $10/Hour
English proficiency – #26 of 100 countries/regions
High proficiency, EF EPI score 58.55
Position in Asia #3/25
Time Zone – (GMT+8)
4. Belarus
Belarus gained its independence in 1991, and since then, the country has managed to preserve its most notable production and technological infrastructure, educational institutes, and qualified professionals. Belarus is also known as an Eastern European software outsourcing region, with a primary focus on the IT sector, which is economical for western countries and has a perfectly legal environment for businesses to operate.
Software development in Belarus is growing, and there are more than 200+ companies, according to Clutch.co, the B2B research, ratings and reviews site. These companies specialize in sectors like Finance/Banking, Automotive, Security, Entertainment, Media, Energy, Healthcare, Education, Real Estate, Travel, and Tourism.
Developer salaries – Avg $9500/Annum
Pay per hour – $10/Hour
English proficiency -#47
of 100 countries/region
Low proficiency
EF EPI score 52.39
Position in Europe #27/33
Time Zone – Moscow Standard Time
Time zone in Belarus (GMT+3)
Way Forward
Above mentioned countries are young in the software development arena. However, with rampant internet penetration globally, workers from these countries are getting equally skilled, as same as a US-based computer science graduate. Software offshore development is viable in these counties, thanks to growing language literacy and global demand for software applications.
