Overview of Popular Places for Hiring Offshore Software Development Teams in 2023

March 16 20236 min read

Organizations around the world need experienced developers who are ready to apply new modernized technologies. Finding the right talent has become quite a challenge for many companies, so the demand for outsourcing continues to grow.

Based on this data, the global IT outsourcing market could reach $397.6 billion in 2025.

Therefore, you should pay special attention to the most profitable countries for software development outsourcing in 2023.

outsource software development

Benefits Of Outsourcing

  • Price

One of the benefits is associated with cost savings. You can save about 50% of your budget by outsourcing your work. So, you’ll get high-quality service at a low price and professionals with deep knowledge and skills.

  • Focus on essential tasks

Business process outsourcing will allow you to focus on building your brand, invest more in research, and provide higher-value services.

  • Savings on infrastructure

Outsourcing will eliminate the need for additional investment in infrastructure, as your future partner will be in charge of business processes and infrastructure development.

  • Talent Pool

You will no longer need to spend half your budget on finding and training the right specialists. Providers such as techflower have an extensive base of needed professionals who are well-educated in different business areas and have extensive experience with the business needs of companies that want to outsource.

  • Timezone

Another benefit comes from the time zone difference between your country and the outsourcing provider. You can safely do your work during the day and get the result from your partner the next morning. Thus, you have the opportunity to conduct business around the clock.

Best Outsourcing Countries In 2023

These are the places that are the most popular for software development outsourcing:

  • Ukraine

Ukraine is among the best IT outsourcing countries in Central and Eastern Europe. Moreover, based on the State of European Tech Report, Ukraine is in second place regarding the number of technology companies created in the 2010s in Central and Eastern Europe.

This growth and success show that the region has enormous potential to become the best country for outsourcing. Also, Ukraine ranked 61st out of 190 economies in terms of ease of doing business in 2020 (up from 78th in 2013).

Ukraine is home to various global companies such as Grammarly and MacPaw. Moreover, despite Russia’s bloody war, 85% of all technology companies in Ukraine continue to provide their services. And also, to fill the shortage of IT experts caused by the Russian invasion, the government and foreign investors launched a unique project, “IT Generation,” to provide Ukrainians with free IT courses.

Based on Grid Dynamics data, the most popular programming languages in Ukraine are Java, Python, Ruby on Rails, PHP, and JavaScript. But as Grammarly’s success shows, Ukrainian IT engineers also have strong data science, artificial intelligence (AI), and machine learning (ML) backgrounds.

Also, Ukrainian specialists show interest in IoT. For example, engineers at Esper Bionics teamed up with software professionals to develop a prosthetic arm robot that Time named Invention of the Year. This product is equipped with artificial intelligence, sensors, and cloud solutions, helping people recover motor skills faster and improve their performance simultaneously. This achievement is a milestone in the IoT in the healthcare industry, which is rapidly developing worldwide.

  • India

India is also one of the world’s hot spots for IT services. The country’s government creates good conditions for hiring Indian specialists by foreign organizations.

By 2025, the IT services market in India could reach about $19.93 billion. Also, in 2022, major tech giants such as Google, Amazon Web Services, and PwC signed a strategic partnership to advance cloud computing, NFTs, and various other financial solutions.

Today, highly paid IT jobs in India are Full Stack Developer, Data Scientist, Cloud Engineer (DevOps), and Machine Learning Engineer.

  • Poland

Poland is also located in Central Europe. According to various reports, the country is a competitor to Ukraine, with more than 100 companies employing about 255,000 developers with the proper education.

Also, based on last year’s Kearney Global Services Location data, Poland ranked 12th among the most attractive countries for outsourcing. This offers a large number of software specialists and budget savings.

The most popular programming languages in Poland are Java, SQL, Python, and C++. And the best technological cities are Warsaw, Krakow, and Wroclaw.

  • Argentina

Argentina ranks 21st in the QS Higher Education System Strength Ranking.

This country has a 2-hour time difference from the US and about 5 from Europe. Moreover, the place is only 4 hours away from Silicon Valley by plane. Therefore, this is a great place to develop software and evaluate startup projects.

Popular programming languages are Java, Python, SQL, and distributed systems development.

  • Czech Republic

The Czech Republic is also an exciting place for outsourcing. The country has relatively low taxes of around 18%, which makes it relatively safe for companies to invest in the information technology sector. The number of software engineers in the country is growing yearly, with their main headquarters in Brno.

In addition, the country is the creator of the analog of Google - Seznam.cz and the popular anti-virus system Avast, which cooperates with Microsoft Windows, Android and iOS.

Popular programming languages are Java, PHP, C, C++, C#, Python, Ruby on Rails, and Swift.

5 myths of working with an offshore development team

How to hire the best offshore specialists?

It would be best if you considered some factors when choosing a country for outsourcing a development team:

Price

Avoid low prices! This may mean the low quality of foreign specialists. The market is crowded, and finding the same developer rates as a year ago is pretty hard, especially if you’re looking to hire a more experienced engineer. Therefore, if you find the perfect candidate, hire him immediately. Otherwise, he may not be available tomorrow.

Reliability

Look for a team of specialists with a proven track record of practical work. Thanks to platforms like Clutch and others, you can check reviews of this team and their company. In addition, you can contact the supplier’s former clients to learn about the project’s nuances.

Portfolio

Check if the vendor has experience with projects in your specific niche, which will help speed up future onboarding.

Timezone

Ensure offshore developers’ hours of operation match those of the head office.

Language

Your collaboration will be more productive if the language barrier is not a problem.

Wrapping Up

Are you looking for the services of an offshore development company? Our team understands how difficult to find the best offshore software specialists. But it’s possible!

We are happy to help you find the right talent by using our experience in selecting offshore developers from Eastern Europe and Latin America for any project quickly and safely.