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Top 7 Offshore Software Development Companies
Offshore software development is a winning strategy for businesses worldwide looking to reduce costs, access specialized skills and speed up project timelines. By outsourcing software development to companies in countries with competitive labor rates, businesses can get cost savings, high quality services and scalability. But selecting the right offshore partner requires thorough research and evaluation of core competencies, communication skills and project management practices. This post presents the top 7 offshore software development companies known for their expertise, reliability and service delivery.
What is Offshore Software Development?
Offshore software development means outsourcing software projects to third party companies located in countries far from the client’s headquarters, usually across different continents and time zones. While this model offers big cost savings, it also comes with communication challenges, cultural differences and project coordination. Effective management of offshore teams requires robust communication frameworks and clear guidelines to ensure smooth collaboration.
Benefits of Offshore Software Development
- Cost Efficiency: The biggest appeal of offshore software development is cost reduction. By partnering with companies in countries where labor costs are lower, businesses can reduce expenses related to hiring, training, infrastructure and benefits. Cost savings of up to 70% are not unusual for large projects.
- Access to Specialized Talent: Offshore software development gives access to a huge talent pool of skilled developers proficient in various technologies and programming languages. By leveraging these experts, businesses can get high quality services without having to invest in expensive in-house teams.
- Scalability: Outsourcing software development allows businesses to scale up or down their development teams according to project requirements. This flexibility is very useful for businesses with rapidly changing demands and timelines.
- Time-to-Market: With the ability to work across different time zones, offshore companies can ensure continuous development resulting to faster project completion and product launch.
- Focus on Core Business Functions: Outsourcing software development allows businesses to focus their internal resources and efforts on core competencies, such as marketing, sales and customer service while external experts handle the technical aspects.
Criteria for Selecting Offshore Software Development Companies
When selecting offshore software development companies, businesses should consider the following:
- Technical Expertise: Make sure they have extensive experience in the required technologies and platforms.
- Communication Skills: Assess their ability to communicate well and provide regular updates.
- Cost Efficiency: Compare pricing models to find a balance between quality and price.
- Project Management: Evaluate their project management methodologies (e.g., Agile, DevOps) to ensure smooth workflow.
- Data Security and Compliance: Confirm they comply with international data protection standards.
- Client References: Review testimonials and case studies to validate their work.
Top Offshore Software Development Companies
1. BairesDev
BairesDev is one of the most popular offshore software development companies, offering software engineering services across multiple industries. With a network of over 5,000 engineers across 36 countries, BairesDev delivers customized solutions to Fortune 500 companies and startups. Their engineers have extensive experience in modern technologies and are known for their technical skills and problem solving abilities.
Benefits of Working with BairesDev:
- Access to the top 1% of tech talent.
- Full digital transformation solutions.
- Dedicated project management and transparent communication.
- Cost effective services with fast project delivery.
2. STX Next
Based in Poland, STX Next is Europe’s largest Python software development company, offering services from software development and product design to quality assurance and staff augmentation. They are experts in frameworks like Django, Flask, React and Angular. STX Next serves industries like fintech, education and e-commerce.
Benefits of Working with STX Next:
- High quality software development at competitive prices.
- Strong communication channels and Agile driven workflow.
- Flexible engagement models for all business sizes.
- Proven track record with clients like MasterCard and Tiqets.
3. Avenga
Formed by the merger of four technology companies, Avenga has become a global IT powerhouse with presence in Europe, Asia and Americas. The company offers custom software development, digital transformation, data analysis and enterprise solutions. Avenga’s clients include industry giants like Mazda, Swiss Life and Volvo.
Benefits of Working with Avenga:
- Wide range of services from digital strategy to development and deployment.
- Strong focus on quality assurance and data security.
- Experience in multiple industries like automotive, healthcare and finance.
- Flexible engagement models tailored to client needs.
4. ELEKS
Founded in 1991, ELEKS is an offshore software development company with presence in Ukraine, USA and Europe. The company offers software development, product design, QA testing and IT consulting services to businesses worldwide. ELEKS is known for its expertise in artificial intelligence, blockchain solutions and data science.
Benefits of Working with ELEKS:
- Experience with cutting edge technologies like AI and blockchain.
- Proven track record with clients like Aramex, Havas and Fortune 500 companies.
- Full software development lifecycle management.
- Flexible engagement models to fit client needs.
5. Saigon Technology
Saigon Technology is an offshore software development company based in Vietnam. Specializing in web and mobile application development, cloud services and enterprise software solutions, the company serves clients across USA, Australia, Europe and Asia. Saigon Technology has expertise in industries like finance, healthcare, education and logistics.
Benefits of Working with Saigon Technology:
- Cost effective software development with high quality standards.
- Proficient in multiple technologies like .NET, Java, React, Angular and Node.js.
- Strong focus on Agile and transparent communication.
- Partners with Fortune 500 companies and startups.
6. Netguru
Netguru is a Polish software development company known for its excellence in web and mobile application development. Established in 2008, Netguru builds scalable software solutions for industries like fintech, healthcare, e-commerce and entertainment. The company follows a client centric approach and provides consulting, design and development services to optimize business operations.
Benefits of Working with Netguru:
- Expertise in React, Node.js, Python and Ruby on Rails.
- Agile driven approach for efficient project management.
- Transparent communication and regular progress updates.
- Experience with startups and large enterprises.
7. ScienceSoft
ScienceSoft is a software development company with over 30 years of experience providing custom software solutions, mobile app development and IT consulting services. With headquarters in USA and development centers in Europe, ScienceSoft delivers high quality software to clients in industries like healthcare, banking, retail and telecommunications.
Benefits of Working with ScienceSoft:
- Highly skilled professionals with deep technical expertise.
- Full range of services covering the entire software development lifecycle.
- Strong focus on data security, regulatory compliance and quality assurance.
- Client focused approach to understand specific business needs.
How to Choose the Right Offshore Software Development Partner
Choosing the right offshore software development partner is key to project success. Here are some tips to guide your decision:
- Be Clear About Your Requirements: Start by defining your project scope, objectives, technologies required, budget and timeline. The more clear you are about your needs the better you can evaluate potential partners.
- Assess Technical Expertise: Make sure the company has experience with the technologies and platforms your project requires. Review case studies, client testimonials and portfolio samples to get more information.
- Check Communication: Communication is crucial when working with offshore teams. Choose a company with English speaking developers, robust communication channels and responsive support systems.
- Verify Data Security: Data protection is paramount when outsourcing software development. Ensure your partner follows international security standards like ISO 27001 and complies with GDPR and other relevant regulations.
- Compare Pricing Models: While cost savings are important, don’t compromise on quality. Choose a provider that offers competitive pricing without sacrificing service quality.
- Have Clear Contracts and Agreements: Formalize your partnership with a detailed contract that outlines project milestones, deliverables, timeline, intellectual property rights and confidentiality clauses.
Conclusion
Offshore software development offers many benefits: cost efficiency, access to specialized talent and faster project timelines. Partner with reputable companies like BairesDev, STX Next, Avenga, ELEKS, Saigon Technology, Netguru and ScienceSoft to get high quality results while optimizing your resources. Evaluate potential partners based on technical expertise, communication practices and data security to ensure successful collaborations and get the desired outcome.
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Frequently Asked Question
Based on the location of the outsourcing partner, there are 3 types of location-based outsourcing models:
- Onshore - when the outsourcing partner is located in the same country as the client company;
- Nearshore - when the outsourcing partner is located in a country with the same or similar time zone(s) as the client company’s time zone(s). For U.S.-based companies, Latin America and the Caribbean are considered nearshore destinations.
- Offshore - when the outsourcing partner is located in a country with a significantly different time zone(s) from the client company’s time zone(s). For U.S.-based companies, Europe and Asia are considered offshore destinations.
The cost of hiring a software development company largely depends on the company’s quality, technology and reputation. Nevertheless, they tend to range between $40 and $100 USD per hour.
Outsourcing software development has the following primary benefits:
- Lower costs;
- Access to a larger pool of skilled developers;
- Speedy execution of software projects.
Choosing a software development company heavily depends on the needs of your project, the deadlines, and the budget. Here are the basic steps for selecting a company:
- Define the scope and requirements of your project;
- Look at the ratings and reviews of software companies;
- Read their portfolios;
- Look at employees' profiles;
- Define a company’s areas of expertise;
- Learn about their previous clients;
- Find out what project management methodology the company uses;
- Learn about the tech the company utilizes for development;
- Get their location;
- Find out about their rates and payment models.
Onboarding a software development company is similar to onboarding new staff. The general steps are:
- Introduce your company;
- Introduce the in-house staff relevant to the project;
- Explain your policies, procedures, and company culture;
- Explain your project, including the short-term and long-term goals;
- Explain any prior issues or anticipated future problems;
- Present the tools and software you use;
- Provide the necessary technical documentation (codes, accesses, databases, development notes, etc.);
- Clearly define the channels of communication you will be using.
Software development outsourcing is typically done in 6 stages:
- Defining the scope and requirements of a project;
- Finding an outsourcing partner;
- Selecting the most appropriate outsourcing model;
- Development;
- Deployment;
- Maintenance.