The article provides you with brief but accurate information about industry and market insights based on an analysis of Software Development companies with 50+ employees located in the four countries Ukraine, Poland, Belarus and Romania who are considered to be top-5 destinations globally Software development delivery.
The information is brought to you by the Software Development in Ukraine, Poland, Belarus and Romania in 2019.
Global software development services market is expected to reach $843B by 2021. The IT Services market benefits from the long- term upward trend due to increasing economic interdependence, readiness of developed countries to move jobs offshore, and ever- growing need for digital transformation especially among enterprises, all three powered by demand-supply imbalance of technical talent.
Source: Gartner, Forecast: IT Services, Worldwide, 2015-2021, 3Q17 Update
Software development delivery volume by country. Eastern Europe is among top-5 destinations globally and Ukraine is one of them
- 70% of demand for Software Development services and outsourcing come from the USA and Western Europe
- Over 80% of supply is fulfilled by India and China, giving Eastern Europe a 5% piece of the global market share
Source: Gartner Worldwide IT Services Forecast (2016 – 2021), Zinnov Zones 2016 Product Engineering Report
Ukraine, Poland, Belarus and Romania together present a formidable competition to other development hot spots. While each is a fraction of Indian or Chinese software development markets, together the four countries export $13B of Software Development services, forming a large and expanding regional competing force. The growing demand from predominantly US and Western European clients is matched by 700K+ IT specialists
The region houses over 200 universities and colleges which graduate 60K IT specialists annually. Out of estimated over 470 software development companies with 50+ employees operating in four countries, 28 have over 1,000 employees and 250 have over 100
According to Software Development in Ukraine, Poland, Belarus and Romania in 2019.
TOP 5 key insights about 4 biggest IT countries in Western Europe
- Software development market in Ukraine, Poland, Belarus and Romania grows x4-5 faster than globally, with US and EU being the main customers*
- Over 700K professionals serve the market. However, the availability of talent remains main bottleneck to faster growth
- The market is highly fragmented with many small companies and just a handful reaching USD 200M mark in annual revenue
- Largest players are likely to become IPO candidates within the next five years
- The sector presents hot market for M&A activity, with over 70 deals in 2015 – 2018
So, WHY UKRAINE?!
* Companies with 50+employees *** revenues by main companies
Business of software development are about software development companies (SD) involved in the process of design, installation, testing and maintenance of software solutions for other businesses.
What we are speaking about?
- SD companies prepare custom-designed solutions individually tailored for each client’s needs.
- SD companies retain responsibility for maintaining and updating developed product.
- Having knowledge and experience in the field SD companies” offer solutions that meet user wants or needs.
- SD companies develop approaches to assure the quality of supplied product.
- SD companies provide own specialists to augment client team’s know-how for the project.