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Why do American businesses opt for Eastern Europe software development outsourcing?

February 7, 2022 by David Edwards

Eastern Europe software development outsourcing has been increasing rapidly in the last 20 years.

Innumerable US businesses are looking for talent among outsourcing companies in Eastern Europe, including Ukraine, Hungary, Poland, Romania, and Belarus.

The support from the US has created hubs of outstanding tech talent across Europe.

Benefits of Eastern Europe Software Development Outsourcing

Eastern Europe software outsourcing companies have a stellar reputation for delivering highly-skilled, scrupulous, and ethical software developers to companies like Microsoft, Hewlett Packard, Google, and more.

In this article, we’ll explore why you should consider hiring an IT software outsourcing company in Eastern Europe for your next project.

Access to Exciting and Rare Expertise

Part of the reason why many US companies are outsourcing software development to Eastern Europe is that they simply cannot access the same degree of talent and expertise on American soil – at least not at an affordable price tag.

Developers are in high demand everywhere, and good senior developers can find work anywhere. This has pushed up the prices and expectations of good developers who are constantly courted by impressive mega-companies like Google and Facebook.

Countries Ukraine, Poland, and Romania constantly rank in the top 20 countries with the best software development skills in the world. If you can’t find top developers in the US, you know where to look!

English Proficiency

IT outsourcing in Eastern Europe is more popular than other parts of the world with equally adept developers, mostly due to their English language proficiency.

In Ukraine, 85 percent of the programmers speak English with a high level of proficiency. Many tech companies will even sponsor developers’ English lessons to improve their skills.

This makes it easier for US companies to communicate with their teams than other countries where English proficiency is lower.

Value For Money

Eastern European developers do charge significantly lower per hour rates for their work. Eastern European developers charge an average of $30 to $65 per hour, while a US developer with the same skill set charges anywhere from $85-$130, depending on their seniority.

Cultural Similarities

Aside from the favorable time zone, Eastern Europe is very similar in terms of its culture and approach to the US. Sure – there are still stereotypes about Eastern Europe, but the world is much smaller than it was 20 years ago.

Major tech companies were founded in Eastern Europe by American and Western European developers. Young Europeans are as likely to watch Netflix and listen to Spotify as their US counterparts.

Many Eastern European tech companies share the Western business culture and approach in terms of communication and cultural values.

Excellent Education

Eastern Europe places a strong emphasis on education. Nearly 36,000 tech students graduate in Ukraine every year, for example, with 75 percent of developers holding a higher education degree and 6.3 percent holding two degrees.

In Poland, nearly 80,000 tech students graduate every year, and in Hungary, 6000. 77 percent of German tech businesses outsource to Eastern Europe, as do 66 percent of Dutch companies, adding to their expertise.

Time Zones

Eastern Europe shares seven out of nine business hours with Western Europe and only has a seven-hour difference with the US East Coast. This makes them a better option than countries like India, the Philippines, and Vietnam.

They also work an average of 40-60 hours per week, comparable to the US, whereas Western European developers work 30-40 hours per week on average.

Stability and Lower Costs

Infrastructure and Internet costs are much lower in Eastern Europe than anywhere else. In Ukraine, there are 1,500 ISPs, and the cost of the Internet is among the lowest in the world.

While it does differ from country to country, most of Eastern Europe is politically stable and safe. It’s easy and safe to travel there, and relations between Eastern Europe and the US are amicable.

We’ve looked at IT outsourcing in Eastern Europe in detail and examined the cost savings, expertise, and convenience of using Eastern Europe Software development outsourcing.

Clearly, if you have a software development project that you need to tackle, Eastern Europe is a great place to find the talent you are looking for without breaking the bank.

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Filed Under: Business Tagged With: companies, developers, development, eastern, europe, outsourcing, software, tech

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