Oct 11, 2018
Why Armenia Might Be Your Next Destination for Software Outsourcing
In the ever-changing world of software development outsourcing, Armenia is rapidly growing into a top software outsourcing destination. This is due to the fact that local software development companies and specialists are offering superior IT and software technology solutions to international companies.
Armenia already has more than 450 ICT companies driving its tech industry, and this number is increasing annually with around 40 new companies and startups. But this is more than just a number. The caliber of local software developing talent providing high-quality services makes Armenia an attractive destination for a number of Western software giants – such as Cisco, Epam, National Instruments, TeamViewer, Oracle, VMWare, Questrade – opening branches and R&D centers in the country.
Here are seven reasons why Armenia is one of the best destinations for outstanding software outsourcing:
Constant expansion of the tech industry
The Global Innovation Index 2017 ranks Armenia as an “Innovation achiever” country that outperforms in innovation relative to the country’s overall level of development. This, combined with an ever-growing number of IT professionals, make Armenia a new hub for quality software outsourcing. This fact is endorsed by Armenia’s hosting the World Congress on Information Technology - WCIT 2019, the largest and the most reputable international event in the tech industry, in Yerevan in October 2019.
On top of latest software technology trends
With the rise of local and foreign supported research labs, communities, and foundations, exceptional Armenian developers and engineers are redirecting their focus on such high demand industry niches as blockchain and AI/Machine Learning.The goal is to turn Armenia into a hub for these top technology trends and utilize the local talent accordingly.
The country boasts a strong software engineering talent that is increasingly being used by global companies not only for software development but also as an R&D hub. Currently, there are over 30,000 software developers in Armenia, forming over 1% of the population. Armenian software developers are famous not only for the quality of their code, but also for their focus on using up-to-date, cutting-edge technologies.
Excellent STEM-based education
Quality education is key for the rise of the software industry in the country. Armenian programmers and engineers have a solid education in programming languages, technology skills, architecture, and generating innovative solutions.The Armenian software industry reaps all the benefits of a decades-long STEM-centered education system that sees close to 2,000 specialists graduating every year in applied mathematics and IT related studies (around 10% of all university graduates in the country). With the IT and software industry being one of the main directions in economic development embraced by the Government of Armenia, the number is constantly increasing.
Moreover, in an attempt to improve the technical education base of the country and growing the professional workforce, a government and industry-supported software engineering program was established in the Armenian school system back in 2014. The program – titled Armath Engineering Laboratories – regularly trains over 5000 Armenian schoolchildren in robotics and software engineering.
To top it all off, the software development workforce of the country boasts with above-average English skills.
Lower Operational Costs
Besides talent acquisition, cost reduction is one of the biggest triggers for software outsourcing. The lower remuneration rates in Armenia compared to Eastern European countries enable global brands to access top quality software engineers for their projects. While the rates for software developing talent in Armenia aren’t as cheap as in some of the other major outsourcing destinations, the quality to price ratio is significantly high.
Communicative and open business culture
Communication – or lack thereof – is often viewed as the central problem in software outsourcing. Although communication is not one of the top of requirements from a software developer, it is certainly central in a successful software outsourcing relationship.
Following the lead of Western software companies opening branches and development centers in Armenia, Armenian software companies are making it a point to embrace barrier-free and transparent business communication and a high level of responsiveness.
Great destination for business travel
Armenians are notoriously hospitable. The warmth of its people, the great food and wine, the fun and leisurely urban life and culture, and UNESCO-listed historical sites make Armenia a destination worth traveling to. What’s more, a 2017 international survey considered Yerevan, Armenia’s capital city, one of the safest cities in the world for pedestrians.
Sounds good, doesn’t it? Then Armenia could be your next outsourcing destination for developing your next great software product.