REDWOOD CITY, Calif., August 25, 2021 – The pandemic crisis increased the use of software development outsourcing within the last year for just-in-time resource and cost control, and even more US companies are expected to leverage outsourcing to combat a staggering 20 percent increase projected for US onshore developer rates in 2021, according to a new report from Accelerance, a Silicon Valley-based global outsourcing advisory firm.
New remote-work models and a record 900,000 US software talent shortage will drive even higher demand for global software offshoring services this year. Those were among the predictions in Accelerance’s 2021-2022 Global Software Outsourcing Trends and Rates Guide released today. The guide draws on a proprietary survey of Accelerance’s largest worldwide network of 250+ premier software development firms across more than 40 countries.
Among US companies, 60% currently outsource at least part of their application development, compared with 56% last year. With an uncertain economic outlook, US businesses will increasingly seek the flexibility of scalable, outsourced development teams along with the cost savings of outsourcing rates – still up to 40% to 70% lower than onshore rates, Accelerance’s research reveals.
“The past 12 months have provided an enduring lesson in how outsourcing can be used to effectively respond to sudden business shocks and to then adapt for resiliency and strategic long-term value,” says Andy Hilliard, CEO of Accelerance. “Solid external relationships helped US companies to weather last year’s crisis. Now, the use of best-in-class partners will accelerate global software outsourcing in a new reality where wide acceptance of distributed work models makes colocation mostly irrelevant.”
The annual guide, the most in-depth yet, offers front-line perspective into:
- Five key strategic forces impacting software development outsourcing in 2021
- 2021 detailed global and regional outsourcing rates comparisons in Latin America, Central, and Eastern Europe, South Asia, and Southeast Asia mined from our proprietary network
- Outsourcing to beat the scarcity and high cost of software developers
- Quality versus cost tradeoff considerations in outsourcing decisions
- Approaches for finding best-fit, enterprise-grade partners
.Accelerance’s annual guide is a go-to industry resource for global outsourcing rates. This year’s guide adds global trends compiled from insights reported by the premium partners in our world’s largest certified global developer network.
Download Accelerance's 2021-2022 Global Software Outsourcing Trends and Rates Guide to gain insight into software development outsourcing as the premier solution to tech talent challenges.
Accelerance is the premier global outsourcing authority® delivering top-tier software development resources along with professional consulting services. We have curated a worldwide network of proven software development and systems integration providers by personally vetting and certifying the top 1% of firms across 40+ countries. Our trusted advisors help clients develop and implement optimal software outsourcing solutions through better planning, better partner selection, and better engagement management. Our proven approach reduces outsourcing risks and costs, ultimately delivering desired business outcomes in a fraction of the time.
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