Are you decided to outsource your software development offshore? Or are you seeking a location where you can get cheaper offshore software development cost for your software projects?
Below is a guide of best options for destinations that provide less expensive offshore software development costs and can cover your business issues like pricing, location, and related matters. How much would it cost if you choose to find IT experts in these remote locations?
North America. In California, you might think it has the highest offshore cost. But the truth is that the average offshore software average cost in the rest of America is even more expensive. A skilled developer in the U.S. charges $150 per hour, which can increase as high as $190 based on their available skills and language proficiency. Canada is part of the U.S. trail or at times charges higher rates. However, for some companies, they have ODCs in Asia, so rates may vary.
South America. The region’s offshore software development in the IT industry is quite new and steadily increasing. Some huge investments of the nearby countries like the U.S. and Canada have introduced a pool of affordable software developers, where the growing demand brings the required supply. As the demand for IT services increases worldwide, this creates to make the supply at a higher cost.
In South America, the average cost of offshore software development is between $20 and $30. However, for more skilled personnel, the prices can gradually soar to $55. Brought by the proximity of Brazil, Mexico, and Panama to the northern part of the region makes this offshoring region attractive despite the increasing costs. In the future, the offshore software development cost for IT services is anticipated to go higher.
Africa. In Africa, offshoring in software development has started with affordable rates. However, the local IT market still lacks specialists as the industry starts adopting new technologies. In the north of the continent, the offshore software development cost is cheaper and is comparable to Asian rates. South Africa’s hourly rate for IT services can reach as high as $50 or more as much as $100. The current cost fluctuation is impacted by a severe lack of experience of IT staff in the region.
Australia. The same scenario is prevalent in Australia. It is a common issue of the islands. At one part, businesses experienced isolation and remoteness to safeguard the state from prevailing wars. On the other hand, it avoids the country from available cultural exchanges and collaboration with nearby labor markets.
With the introduction of the digital period, this enables more potential for offshore outsourcing in software development. Based on the Australian Skilled Occupation List 2017-2018, the country experienced a shortage of software engineers, web developers, QA testers, and other types of programmers. This makes hiring local specialists very costly. The minimum hourly rate reaches $100 while the highest cost goes above $180 per hour.