Over the years, both India and the Philippines have been two of the top outsourcing destinations not just in Asia alone but the entire world.
Software outsourcing, along with other Information Technology (IT) services, has been increasingly in demand these days. As we continuously adapt to the new normal given our current pandemic state, so as the market industry. Businesses have even started doubling their digital efforts as the online market becomes more competitive.
German database company Statista estimates the global IT industry to reach US$5 trillion. It is also expected that 32% of its market share will be coming from Asia. When we speak of IT outsourcing, India and the Philippines are two countries that are famously known for this business practice.
Software outsourcing industry in India
India is one of the leading software outsourcing providers in the world. In fact, it has contributed over 56% to the global IT outsourcing industry in 2018. In the next four years, the Indian IT industry is aiming to reach $350 billion in revenue.
Advantages of outsourcing software development to India:
Outsourcing your software development in India has the following advantages:
- Huge IT talent pool. India has a large percentage of IT experts with a bachelor’s and master’s degree.
- No language barrier. English is one of the primary languages spoken in the country.
- Lower costs. Software development costs in India are much cheaper compared to developed countries like the US and Europe.
Software outsourcing industry in the Philippines
On the other hand, the Philippines is also one of the famous outsourcing hubs in the world. It has over 8,000 software outsourcing providers across the country. Apart from providing quality technical support services, a lot of IT outsourcing companies in the country specialize in web development, software development, and back-office functions.
Advantages of outsourcing software development to the Philippines:
Outsourcing your software development in the Philippines has the following advantages:
- Economic stability. The Philippines has a strong and fast growing economy.
- Language advantage. Filipinos are exceptionally fluent in speaking the English language. In addition a huge part of the Filipino culture is influenced by the western culture. The nation has a strong cultural affinity to the West.
- Diverse talent pool. Over 15,000 IT students graduate yearly. These are highly qualified professionals who are eager to join the workforce.
- Technological advantage. The IT industry is one of the fastest growing sectors in the country.
India and the Philippines’ outsourcing sectors
Over the years, both India and the Philippines have been two of the top outsourcing destinations not just in Asia alone but the entire world. Both countries share a lot of similarities in terms of global talent pool, developing infrastructure, and labor costs. The business process outsourcing industry (BPO) in both countries build up most of its employment sector. Thus, multinational companies from the US, Australia, and UK have been outsourcing some of their daily operations to these IT powerhouses.
