IT Outsourcing in Ukraine & Software Development Companies in Ukraine
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Software Development Companies in Ukraine: IT Outsoursing Without Compromising Quality (Tips Included)

by Irina Kravchenko

This year 13 software development companies in Ukraine made IAOP’s list of top-100 offshore IT contractors demonstrating their excellence in a set of criteria. Some of them were named rising stars. You never know where you will meet your star.

Every single individual or organization that plans long-term projects should focus on how to hire software developers overseas without risking project success. Let’s figure out how to avoid possible pitfalls and choose the best-match partner out of millions of providers.

Information Technology in Ukraine: Present State

According to IT Association, the size of IT services export made $3,6 B and is expected to grow up to $8,4 B in 2025. The contribution of the industry to the country’s GDP will increase accordingly from 3,34% to 4,65%. To get the expected outcomes the industry needs stable taxation policy and no new regulatory obstacles.

Top-5 areas in which Ukrainian developers are masters are as follows:

  • Software Engineering
  • Testing
  • Test Automation
  • Apps Support
  • Architecture

However, software development companies offer also design, business process outsourcing, research and development, IT training and consulting, security management, content marketing, etc.

Tip: Identify what help you require most, what tasks you can delegate to others. Study that sphere thoroughly to know all aspects: rates, expertise levels, technologies, and stacks. It will help you find best-match candidates to accomplish your tasks.

Let’s imagine, George needs to outsource Android development to Ukraine. First off, he should define the specifications of the app. Once he’s done, he will be able to send estimations requests to several companies and compare the rates they will offer to him.

Amount of Software Development Companies in Ukraine

The State Statistics of Ukraine informs that the number of IT companies running in the country was around 12 K in 2016. It doesn’t mean, of course, that all provided software development services.  Approximately, the total quantity of such businesses is 2000. The others work in the relative fields of information and telecommunication sciences.

DOU, a Ukrainian professional platform for IT specialists, has compared the figures they got as a part of their own job marketplace research in 2016-2017. According to the investigation, 99,940 programmers worked in the industry in 2016. That figure has grown to 126,990 in just a year.

Tip: If you search for a vendor take no chances to hire the first available individual or agency. Check out the history and experience of the company. Look through the accomplished cases.

The Biggest Software Development Hubs in Ukraine

Top Ukraine IT outsourcing companies are situated in big cities. According to Mappedinua, the biggest tech hubs are in Kiev (891), Kharkiv (138), Dnipro (126), Lviv (116), Odessa (74). The indicated numbers include not only IT companies, but also R&D centers, startups, and those who provide some relative to IT services. Take a closer look at the map.

Software Development Companies in Ukraine

As you see, the better half of IT companies are located in the capital city. After all, Kyiv is very easy to reach from any country of the globe. As of 2017, its population is almost 3 mln. people making the city the largest one in Ukraine.

Tip: When it comes to long-lasting projects, the location of vendors matters. Probably, you will need to travel to another city or country. Pay attention to the workspace location of your partners when negotiating the conditions.

How Large Is an Average Ukrainian Software Development Service Provider?

According to the data presented on Clutch, which is an ideal platform to find reliable offshore software developers, top software companies in Ukraine are made averagely of 250 workers. Being international and having representatives all over the world, a few of them like Eleks and Ciklum attained the number of 1000-9,999 employees (the total number of people who work for the company and reside in different countries of the globe). It will be observed that the rates of such vendors are higher than the prices offered by small and medium outsourcing companies in Ukraine.

Tip: Middle-sized IT providers offer lower rates as compared to global companies.

Ukraine IT Industry Export: Top Countries to Promote Outsourcing Services

Thanks to the high level of STEM education and simplified taxes, Ukrainian developers demonstrate high export incomes. Ukrainian web developers are 100% export-oriented. The cause of that is a buoyant demand for the services among overseas customers. The USA, Germany, and UK are top-3 states that hire Ukrainian programmer specialists.

Delegating your tasks to a contractor facilitates fast and successful completion of the project. Here are a few explanations why companies delegate development, integration, or migration to freelancers, offshore agencies, and search for developers overseas:

  • Expertise and employee scarcity
  • Need to cut costs
  • Wish to find long-lasting partnership
  • Need of domain experts
  • High in-house rates

As you see, the main reasons are rates and expertise. Read on about Ukraine outsourcing rates to learn how you can cut costs creating your projects.

Tip: Compare rates of several companies providing similar services before getting started. Do the same with expertise in the required domain.

Ukraine Developer Salary in Figures: Overview of Rates According to Expertise

According to DOU, we have gathered the data that shows the average salaries of Ukrainian software developers, as of December 2017:

Outsourcing Rates Ukraine

Compare other figures on the mentioned above website.

Tip: The salaries, as well as the rates in the largest cities, are almost the same. Check out the rates in smaller cities if your project is not sophisticated.

Expert Opinion: Kiev Software Development Company Tells Their Story

  • Why are so many people outsourcing to Ukraine? What are they expecting to receive?

  • Most of people look for specific domain expertise. We specialize in Java, Python, .Net and a lot of other stacks for creating big enterprise solutions. The other reason is lower rates as compared to American programmers rates, for instance.

  • Where do your foreign partners come from?

  • Our customers reside in different countries of the world. Some of them become repeat clients especially when we deal with a long-lasting project.

  • What difficulties can foreign companies meet in Ukraine?

  • No matter to what country you outsource your projects, Ukraine, India, or elsewhere, you must know that some providers are cheating. That’s why some of the newbies to Ukraine software development are too careful when selecting a partner. What we recommend to external companies is to get acquainted with all team members before getting started. You may also organize a kind of workshop to see how your dedicated team understands the requirements and the entire idea of the product.

Top 10 IT Companies in Ukraine: General Overview

We made a general list of software companies in Ukraine. Check it out!

#1 - Ciklum is one of the biggest companies in Ukraine that engages around 340,000 people. It is an international company with offices all over the globe. It offers Big Data, IoT solutions and a wide range of QA, app and product development services.

#2 - Eleks is focused on training and engineering services for big organizations. It has offices in Ukraine as well as in Eastern Europe, Japan, and the USA. Specialize in custom products development and web design.

#3 - Diceus is a medium outsourced software and mobile development company. It offers remote dedicated teams with 6+ years of experience in the domain. It also provides professional PMs that run the projects in accordance with the rules of Scrum methodology.

#4 - Perfectial Lviv provides IT services for advertising, financial, marketing, real estate industries mainly. It specializes in web development and cloud computing.

#5 - AltexSoft is a tech knowledge provider located in Kharkiv. They are working mostly with mid-market clients and are conversant in ecommerce solutions.

#6 - Svitla Systems Ukraine is one of the American companies in Ukraine with offices in the largest cities. It builds platforms for healthcare, finance, and businesses.

#7 - PLVision offers IT managing offshore teams service in a certain number of domains including Internet of Things and Computer Networking. It is located in the Western part of Ukraine, Lviv.

#8 - eTeam is an e-commerce development provider with a focus on retail and financial spheres. The company started in San Francisco with building payment platforms and then moved to Kiev.

#9 - Skelia offers good opportunities for startups to outsource software testing and development in Ukraine. The company provides management as well.

#10 - Infopulse is a consulting provider located in Kyiv. It offers business process services as most of others do.

Top-3 Tips to Hire a Trusted Software Development Company Ukraine Without Risking a Project’s Success

To select a software development Ukraine provider adhere to the prompts below. We tried to gather all practical tips and shared experience to teach you how to hire a trusted freelancer or outsourcing provider.

  1. Vast Experience is number one in a list of must-have features of a successful organization. Check out the portfolio and speak to technical specialists to see how expert they are.
  2. Face-to-Face Meetings give a perfect opportunity to get to know your outsourced team better. Meet people to better understand their skills and competencies.
  3. Project Management and QA are other important things to pay attention to. Learn what PM methodologies your vendors use. Ask what kinds of tests are used to verify quality.

App Developers Ukraine: In Case You Need Mobile Development

We’ve talked so much of Ukraine IT companies. Apparently, it’s a high time to start searching for the best contractor. Let’s also talk a bit about iOS and Android apps development in Ukraine.

Ukraine can impress you with a vast experience in building applications for native and cross-platform aims. With a rapid growth of mobile devices users, the world is in high demand to present its goods and services on the go.

Ukrainian developers design the clearest UI/UX solutions. Besides, due to solid grounding, they can offer you quick time to market.


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