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The Benefits of Outsourcing Software Developers to Latin America

by Carlos A. Vázquez    |    November 4, 2019    |      4 min read


Outsourcing Software Developers to Latin America

Outsourcing is not just about cost savings, it’s about increasing efficiency and developing global partnerships to gain access to a bigger talent pool.

Startups and managing teams don’t often think about Latin America as the next up-and-coming tech leader. In the past few years, however, regions in Latin America have seen a burgeoning industry of the IT sector and a proficiency in working with different programming languages. Today, places like Mexico are producing more than130,000  engineers and computer scientists every year, making outsourcing developers work from these countries a win-win situation for U.S companies.

Get the eBook: Tech Salaries in Mexico 2019

The tech talent in Latin America is catching the attention of some big profile companies. Amazon Web Services recently expanded its offices in the region by adding a new one in Argentina; this in addition to its established offices in Mexico, Brazil, Chile, and Colombia. Wizeline, an innovative software development company, has partnered with over 30 Latin American firms. According to Stack Overflow, a site for software developers, the average reputation for top users is higher for Latin American countries.

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Reasons for Latin America’s IT Growth

Many factors have come into play in the region that have encouraged a growth boom in tech sectors. Latin America has seen an increase in internet usage by 1,644.3 percent, with an internet penetration rate in 2015 of 61 percent, increasing to 73 percent in 2019. At the same time, countries like Mexico are seeing large numbers of graduates coming out of prestigious schools with computer science and engineering degrees. Software Developers coming out of Mexico are proficient and well-versed computer engineers.

Read Also: 3 Facts That Make The Tech Scene In Mexico A Promising Paradise

Common Characteristics of Latin American Developers

The most common type of developer in Latin America, according to Stack Overflow, are web developers. Over 60% identify as back-end developers, and almost half say they are full-stack developers. Similar to the rest of the world, JavaScript, HTML, and CSS are the most commonly used programming/scripting/markup languages in the region. According to the data, Latin America exceeds in Python and has a good percentage of mobile developers.

Read Also: How Do Software Developers Salary In Mexico Compare To The U.S.?

A Few Benefits to Outsourcing Developers in Latin America

For U.S companies there are many advantages in outsourcing and hiring the young talent brewing South of the border:

  1. Cultural Connections: In terms of business practices and work practices, Latin American countries share similarities with the U.S. Children in Latin American countries also learn English from a very early age. According to the EF English Proficiency Index in 2015, countries like Peru, Chile, Ecuador, Mexico, and Brazil are high in English proficiency, surpassing even China.
  2. Versatile workers: Many of these young developers are ready to jump on opportunities and have thus become highly agile workers, accustomed to working with startups, and are therefore more flexible and creative.
  3. Lower Costs: Another advantage of outsourcing Latin tech talent is the cost efficiency for U.S companies. The average wage from top talent in the region will vary, but it is generally low while maintaining quality.

Read Also: How To Stay Competitive In The Tech-Hiring Market

America’s southern neighbor has seen growth in technology sectors due to the high demand. According to the U.S technological achievement index, it positions Mexico as the best Latin American country. Cities like Monterrey, Guadalajara, and Mexico City have gained quite the reputation when it comes to producing talented and versatile developers. As a hiring partner that works with the communities of developers in Mexico, we have seen just how creative and well-versed developers are.

Let us know what you would like to know about developers in Mexico, or learn more about hiring Latin American talent and the different alternatives to scale your team.

Tech Salaries Report 2024

Tech Salaries Report 2024: The top IT salary guide for Mexico and Latin America

The battle for tech talent is in full swing. This comprehensive report serves as a multi-dimensional look into the unique and growing tech hiring market in Mexico and Latin America. The Mexico Tech Salaries Report 2023 serves as a useful salary guide and benchmarking tool for companies looking to stay competitive and snatch up the region’s best developers, engineers, and tech talent.