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The 2018 Guide to Global
Software Outsourcing Rates
Introduction
In late 2017, Accelerance reviewed available
research on current software challenges,
technology growth, and software development
outsourcing from top tier players, publications,
associations, including: Deloitte, CompTIA and
IDG.
The overarching theme we identified is that the
top technology growth inhibitors are labor
costs and the availability of skilled workers.
With the Accelerance 2018 Guide to Global
Software Outsourcing Rates, we’re pleased to
present our findings from more than 700
software development companies who
reported blended hourly rates to us in 2017,
combined with our own experience helping
clients and partners with the right mix of skills,
experience, location and cost.
LABOR COSTS:
THE #1 INHIBITOR TO
TECHNOLOGY GROWTH
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
Onshore vs Nearshore vs Offshore
ONSHORE
Outsourcing to software
development partner in
your own country.
NEARSHORE
Outsourcing to firms two to
four timezones away, possibly
located in bordering countries
to your own or just a short
distance away.
OFFSHORE
Regions that are oversees or
more than four timezones
away.
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
Nearshore and Offshore
Saves 40% for US Firms
In-house Developer
Offshore/Nearshore
Developer
Number of Developers 10 10
Man Hours Needed 20,000 20,000
Hourly Rate $60 $35
Employee Benefits
Taxes
Training, Retention
Travel
Estimated Cost $1.6 Million Minimum $700k + Travel
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
Sample Cost Savings From Outsourcing
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
5 Factors That Drive Outsourcing Rates
Location
Team Size
Seniority / Work Experience
Tech Stack
Length of Engagement
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
2018 Global Software
Outsourcing Rates
North America Latin America Eastern Europe Asia
$24
$35
$30
$132
2018 Global Outsourcing
Rates: Mid-level Developer
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
2018 Global Outsourcing
Rates: Sr. Developer
North America Latin America Eastern Europe Asia
$30
$45$45
$154
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
2018 Global Outsourcing
Rates: Lead Developer
North America Latin America Eastern Europe Asia
$30
$45
$50
$176
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
2018 Global Outsourcing
Rates: Graphic Designer
North America Latin America Eastern Europe Asia
$25
$35
$40
$79
THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
Want To Know More Rates?
Download Now
Thinking About Outsourcing
Your Software Development?
We’ve reviewed 8,000 companies around the
world so you can outsource with confidence.
Request Info
Want to know which ones to
trust? Talk to us.

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The 2018 Guide to Global Software Outsourcing Rates

  • 1. The 2018 Guide to Global Software Outsourcing Rates
  • 2. Introduction In late 2017, Accelerance reviewed available research on current software challenges, technology growth, and software development outsourcing from top tier players, publications, associations, including: Deloitte, CompTIA and IDG. The overarching theme we identified is that the top technology growth inhibitors are labor costs and the availability of skilled workers. With the Accelerance 2018 Guide to Global Software Outsourcing Rates, we’re pleased to present our findings from more than 700 software development companies who reported blended hourly rates to us in 2017, combined with our own experience helping clients and partners with the right mix of skills, experience, location and cost. LABOR COSTS: THE #1 INHIBITOR TO TECHNOLOGY GROWTH THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 3. Onshore vs Nearshore vs Offshore ONSHORE Outsourcing to software development partner in your own country. NEARSHORE Outsourcing to firms two to four timezones away, possibly located in bordering countries to your own or just a short distance away. OFFSHORE Regions that are oversees or more than four timezones away. THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 4. Nearshore and Offshore Saves 40% for US Firms In-house Developer Offshore/Nearshore Developer Number of Developers 10 10 Man Hours Needed 20,000 20,000 Hourly Rate $60 $35 Employee Benefits Taxes Training, Retention Travel Estimated Cost $1.6 Million Minimum $700k + Travel THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 5. Sample Cost Savings From Outsourcing THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 6. 5 Factors That Drive Outsourcing Rates Location Team Size Seniority / Work Experience Tech Stack Length of Engagement THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 8. North America Latin America Eastern Europe Asia $24 $35 $30 $132 2018 Global Outsourcing Rates: Mid-level Developer THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 9. 2018 Global Outsourcing Rates: Sr. Developer North America Latin America Eastern Europe Asia $30 $45$45 $154 THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 10. 2018 Global Outsourcing Rates: Lead Developer North America Latin America Eastern Europe Asia $30 $45 $50 $176 THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 11. 2018 Global Outsourcing Rates: Graphic Designer North America Latin America Eastern Europe Asia $25 $35 $40 $79 THE 2018 GUIDE TO GLOBAL SOFTWARE OUTSOURCING RATES
  • 12. Want To Know More Rates?
  • 14. Thinking About Outsourcing Your Software Development?
  • 15. We’ve reviewed 8,000 companies around the world so you can outsource with confidence. Request Info Want to know which ones to trust? Talk to us.