When a company hires another software development company to develop software for them, this is known as software outsourcing. This is possible because they lack the necessary resources (time, money, engineers) and competence to do it on their own. Software development firms specialize in software development and frequently provide many services, such as enhancing an existing system or creating a new system from the ground up with customer input. Outsourcing also allows companies to have access to resources such as information, technology, and skills that would otherwise be unavailable within the organization using the outsourced services.
Software outsourcing will continue to expand in 2022, with new software outsourcing trends emerging. Hanna Shnaider, the head of marketing at FortySeven has highlighted eight trends she believes will have an impact on the sector in 2022. You can find out more about her here.
Global demand for talented engineers is on the rise.
In 2022, the demand for engineering skills is likely to rise even more. In the United States alone, about one million tech jobs are unfilled. Because outsourcing businesses already have enormous pools of engineers and are skilled at locating the finest engineers, they are in a good position. Companies who lack technical competence and abilities, on the other hand, face the issue of boosting their engineer supply or outsourcing to FortySeven IT to satisfy demand.
Engineers are in high demand as a result of the COVID-19 epidemic. The pandemic is expected to improve in 2022, which will increase demand for custom software engineers even more.
Demand for cloud-based services is increasing.
Cloud-based services have grown in popularity over the years, and we expect this trend to continue. The various advantages of cloud-based services, such as enhanced scalability, speed, security, and cheaper prices, are driving this software outsourcing trend. Furthermore, many businesses who have started outsourcing software development are practicing so since they recognize the value in cloud-based software services.
As the popularity of cloud-based services grows, more businesses will adopt a cloud-native development strategy. Custom software development companies will be able to develop and deploy software in the cloud rather than on-premise hardware, which will need less system administration and maintenance. In the long run, this will save money and allow a custom software developer to be more productive.
As software development companies migrate to the cloud, cloud-native software development technologies such as object storage, container registries, and databases will become more prevalent.
Data Science and Analytics are in high demand.
We predict this trend to continue in the next five years, since specialized software development companies focusing on big data and analytics are starting to emerge. As more businesses outsource their development processes, they will look for software outsourcing companies that specialize in this field to help them learn as quickly as possible. This may also be seen in the rise of data science employment in outsourced software companies, implying that demand for these services will expand.
The Growing Demand for DevOps and Agile Methodologies
More businesses are incorporating DevOps and agile software development into their operations, which entails moving quickly with small teams that collaborate closely to complete tasks. This helps to boost collaboration and communication amongst teams, allowing a custom software agency to react faster and be more adaptable with their development process. It also decreases the time it takes for software updates as well as helping organizations get smaller projects out faster.
Artificial Intelligence (AI) and Machine Learning’s Ascension
While demand for artificial intelligence has grown, not all businesses have the means or knowledge to develop software on their own. As a result, businesses are increasingly trying to outsource artificial intelligence projects and services. This involves enlisting the help of outsourced custom software development firms to create and integrate artificial intelligence into their products. Furthermore, many organizations are outsourcing their machine learning initiatives since they demand in-depth understanding of the subject area, which is generally not available within a single organization.
A greater emphasis on security
The custom software outsourcing sector has expanded in tandem with the importance of cyber security. The average price of a cybersecurity compromise, according to IBM, is $4.24 million. With new dangers developing daily, it’s more critical than ever to guarantee that your data and information are secure. As a result, selecting an outsourcing partner with the competence and ability to provide the appropriate security services for your firm is critical. ISO27001 certification is an excellent way to confirm that a software or mobile app development company has the expertise and experience necessary to adopt the most effective security procedures.
Instead of focusing on price, concentrate on skill.
While cutting personnel, software outsourcing began to save expenses and gain access to highly trained workers. However, with talent in many places throughout the world on the rise, organizations are looking for more than simply a low price when selecting a software outsourcing partner.
Companies are looking for a comprehensive bundle of services that includes industry expertise, technological know-how, software development skills, security skills, and a strong social media presence. These elements contribute to a software outsourcing company’s ability to distinguish itself from the competition. Companies cannot fight with their main rivals if they do not possess all of the elements in place, thus choosing a software partner based only on price is no longer a viable option.
Businesses are seeking software outsourcing partners with a variety of skills and specialties.
Companies will seek partners with a diverse set of technological talents. Consulting, design, programming, testing, and deployment support will all be provided by a single software outsourcing custom software development firm. It’s a great opportunity to work with a company that does more than one thing and has the expertise and experience to give end-to-end service on a project.
As businesses explore ways to save costs and improve efficiency, software outsourcing has grown in popularity. Development companies who want to flourish in the software development market require a partner like FortySeven software professionals that can help them at every level of the process.