In recent years, Ukraine has asserted its international position in the IT industry, steadily becoming Europe’s leading reliable IT outsourcing destination and winning influential roles in global tech-related rankings. Ukrainian software engineers are among the strongest IT experts around the world, with versatile technical backgrounds and deep knowledge of emerging technologies and compliant and profitable IT services.
Let’s delve into the pros of IT outsourcing to Ukraine and examine the top 10 reasons why hiring Ukrainian professionals is beneficial to your success story and project implementation.
1. Vast, Experienced Talent Pool
Ukraine boasts an extensive and burgeoning IT talent pool with diverse expertise. The number of IT specialist developers reached 185K in 2019 and a targeted 200K in 2020. Overall, the number of tech professionals is growing by 25K–30K annually. DOU.ua reports that over 50% of engineers had 2–5 years’ experience in the IT domain, and 12% of respondents had been committed to programming for 10 years or more. This positive trend has affected the decision-making process of tech giants, persuading them to consider Ukraine as a winning outsourcing place.
In 2020, the International Association of Outsourcing Professionals (IAOP) acknowledged 13 Ukrainian companies by including them in its annual list, The Global Outsourcing 100. These top tech companies are either exclusively local IT organizations or subsidiaries of international IT giants that have already set up their research and development centers in Ukraine. Currently, over 100 organizations have entered the local marketplace with R&D offices, including:
2. Start-Up Culture
Over 2,000 start-ups have been founded in Ukraine since 2010, and 2018–2019 saw a remarkable development of the start-up ecosystem.
Every year, StartupBlink and Startup Ranking select the most prominent start-ups globally. Among recently ranked start-ups that originated in Ukraine are:
Released in 2009 by Ukrainian software developers, this globally popular plagiarism and grammar checker uses artificial intelligence technology to analyze language and detect inconsistencies in written text. Grammarly has become a profitable company since 2011 and earned recognition as the first Ukrainian unicorn start-up in 2019. The solution is available both as a native iOS and Android app and as a plugin for multiple Internet browsers.
Established in 2012, Petcube offers devices with integrated laser toys, Wi-Fi cameras, and voice control, helping pet owners keep in touch with their pets remotely via the internet. The company has attracted over $14 million in investment and is now a world-renowned brand, according to Tech Ukraine.
The open-source code-hosting and collaboration platform for DevOps was developed in tight cooperation between its Ukrainian and Dutch founders in 2013. The company raised seed investment from the American Y Combinator accelerator and was recently valued at $2.7 billion, writes VentureBeat.
Currently operating in over 190 countries, this photobank start-up is one of the top stock-image companies in the world. Since the EBRD invested €4 million into the start-up, its user base has successfully grown tenfold, and its income has doubled.
Created for salespeople, this platform was built to predict and drive sales and increase revenue opportunities. Its software uses the power of artificial intelligence and machine learning to succeed in the sales industry. In 4 years, over $100 million was poured into the company, which now has an overall valuation of $500 million, according to TechCrunch.
3. Tech Infrastructure and Community
Each year, multiple technology events with worldwide focus and scope are held in Kyiv, Kharkiv, Lviv, Odesa, and Dnipro to unite Ukraine’s international tech community. Some of the top trending events include:
- Lviv IT Arena—drawing international attention to Ukraine’s tech industry.
- IForum—dedicated to web development in Ukraine.
- The Agile Eastern Europe Conference—promoting Agile practices and Scrum methodology in project management in Ukraine.
- DEV_Challenge—a conference on software development in web, mobile, and gaming.
- The Games Gathering Conference—an event devoted to game development.
4. Key Tech Expertise and Industries
Ukrainian IT specialists offer a range of software development services encompassing web and mobile development, UI/UX design, QA services, project management, analytics, R&D, IT consulting services, and much more.
Developers gain a solid technical background in multiple technologies and languages, which is beneficial to clients. Junior-level developers thoroughly analyze trends to get a good start in the IT domain, and most versatile engineers also follow trends, switching between several programming languages.
IT service providers successfully deliver core industry projects, primarily focusing on data management, telecom, cloud, gaming, eCommerce, media, FinTech, healthcare, artificial intelligence, big data, data science, machine learning, and blockchain. This allows smooth cooperation with large enterprises and SMEs globally.
The major benefit of hiring Ukrainian software developers is serious cost-savings and efficiency without compromise on quality. Though Ukraine is not the cheapest option, it holds one of the best value-for-money ratios.
The average hourly rate for a skilled developer depends on whether they are based in a high- or low-cost country, the level of expenses and overhead costs, living conditions, taxes, and law regulations. Based on research conducted by the Ukraine IT Outsourcing Rates, American programmers average up to $100 per hour. Outsourcing to Ukrainian software developers saves about 40%–60% of company money spent on salaries, as the average rate ranges from $35–$60 per hour.
Overall, hiring local experts with similar qualifications in Ukraine is more cost-effective, and the IT services they provide are of exceptional quality, proving excellent value for money.
6. Tech Education
Ukraine is a nation where developers learn varied skills and strict work ethics through a high standard of education for considerably lower costs. The best Ukrainian computer science universities are in Lviv, Kyiv, Kharkiv, and Sumy.
Various IT outsourcing companies in Ukraine collaborate with the government and educational institutions by launching innovative labs and tech programs for students. For example, the tech community Lviv IT Cluster, alongside two leading universities, has developed and integrated educational programs in various academic disciplines, including data science, artificial intelligence (AI), the Internet of Things (IoT), and computer science.
Besides universities, large Ukrainian IT companies offer many IT courses and open proprietary IT academies to simplify the recruiting process. This helps junior developers gain the relevant practical skills and experience before graduation so they can readily immerse themselves in the development environment.
Ukrainian IT specialists show eagerness and dedication to self-education, which boosts software development. These educational benefits contribute to technical expertise development and early career blooming.
7. English Literacy
High-quality education, proximity to Western Europe, and a cross-cultural mindset affect the population as many people are fluent in English. DOU.ua states that most IT-domain representatives in Ukraine learn intermediate-level English or higher, which is sufficient for successful participation in global projects. Specifically, business analysts, project managers, and sales and marketing managers are highly proficient in English, among other tech professionals.
8. Time Zones and Geographic Location
Ukraine’s time zone is only two hours ahead of other European countries and only seven hours ahead of the US East Coast. The country’s location means local developers can adjust their work schedules and find suitable time slots for organizing sync-ups and communicating with offshore clients and teams. Time-zone specifications ensure an uninterrupted development process with no impact on the working schedule.
9. Cultural Compatibility
As the country is in Europe, local folks share Western values and present cultural proximity to their European and American partners. Ukrainian software experts easily overcome cross-cultural differences, aiming to foster effective communication and avoid cultural gaps or barriers.
When considering outsourcing to Ukraine, clients look at the country’s safety record—its economy, business climate, and security. To meet client requirements, Ukrainian IT companies pay strong attention to their information security and compliance with law legislation and international regulations. They follow international security requirements such as ISO, PCI, and HIPAA, maintain high-level security policies, procedures, and technical guidance, and devote time and effort to training staff and developing an effective security strategy.
In summation, engineering expertise and extensive technology excellence mean Ukrainian software developers are among the best teams to work with. With a vast tech-skilled talent pool, excellent cross-cultural communication, ideal geographic location, competitive rates, and the best value-for-money proposition, IT outsourcing in Ukraine has seen a great leap forward in recent years, attracting more and more clients worldwide.
Considering hiring Ukrainian Software Developers? Contact us and we will help you find the right fit for your project.