Statista indicates the global market for outsourced software services is valued at $92.5 billion, with the expected market to grow by $7 billion annually. In other words, delegating projects to software development companies has become a trend that will develop further. With various outsourcing opportunities, Romanian IT companies are definitely a part of this trend. Let’s explore the Romanian IT industry to determine why it is a great outsourcing hub.
The Romanian IT sector has seen significant growth in the past decades. The industry is now known on a global scale for offering high-quality services for reasonable prices. IT companies in Romania work with a wide range of business verticals and provide different types of services. For a better understanding of Romanian IT companies, let’s explore some statistics.
Currently, Romania is ranked 28th on the 2021 Kearney Global Services Location Index, thus showing that the nation is a solid outsourcing destination to consider. The Romanian IT sector generally offers services delivered by more than 190,000 IT professionals.
Furthermore, most Romanian IT companies provide services linked to Financial services. In addition, more than 80% of the best IT companies in Romania deliver services abroad. As a result, the Romanian IT sector is booming, as it caters to the needs of international businesses.
An appropriate business environment is a critical factor in enabling the growth of the Romanian IT industry. As the costs of IT services in Europe vary, there are always various options to find the best outsourcing destinations. In such a case, returning to the Romanian positive business climate, the best indicator of its growth is the number of various multinational companies using the country’s potential. More specifically, here are the companies that chose Romania as their outsourcing destination:
These companies opened their offices across different Romanian IT hubs. It shows that Romanian IT companies do not have a lack of global clients to work with. In addition, the IT sector has delivered about 6% of the nation’s GDP and the number is expected to reach 10% by 2025. More importantly, Romania has attracted about $2 billion in foreign investment within several years. Many international businesses view Romania as a great investment destination. Putting all these factors together, one can see that the nation’s business ecosystem is favorable enough to enable the growth of its IT sector. It looks like Romanian IT companies will have enough clients in the future, and they will develop the scope of their services even further.
Romania has one of the highest per capita numbers of certified IT professionals. It is all thanks to the elaborate national educational system and its focus on solid Computer Science education. As a result, IT companies in Romania have a stable influx of ICT experts, which won’t die down any time soon. In addition, there are about 345 IT companies operating in Romania. About a third of them deliver enterprise-level services, while almost half of Romanian IT companies work with startups and small firms. In terms of size, there are only eight IT companies in Romania with more than 1,000 employees. 85% of IT firms in the nation have less than 250 employees.
When it comes to services, as it was mentioned above, IT companies in Romania predominantly focus on the Financial sector. However, they are also proficient in computer technical support, computer electronics, network design, telecommunications, and LAB/WLAN communications. As to the notable domestic products produced by Romanian IT companies, one can mention the AeL eLearning platform and BitDefender. In terms of a broader scope of services, the Romanian IT industry also focuses on strategic consulting, Internet of Things (IoT) development, enterprise software development, data management, and cloud computing.
Romanian IT companies are located across several local IT hubs. The biggest hub is the capital of Romania: More than 110 IT companies in Romania are headquartered in Bucharest. Most companies in this city have less than 250 employees. ICT experts that belong to the Bucharest IT hub work in such fields as E-commerce, Healthcare, and Financial sectors.
Along with the primary IT hub, there are places like Cluj-Napoca and Iași. There are about 160 software development companies based in Cluj-Napoca, most of which are small-sized vendors. The key focus of this IT hub is directed at Finance and telecommunications. In turn, Iasi is the third largest IT hub in Romania: About 30 Romanian IT companies operate in the city, most of which are SMEs. These firms are actively involved in the Finance, Education, and Logistics sectors.
If you aim to pick the best IT companies in Romania, you should follow these steps:
These are basic steps to help you choose the best IT company in Romania.
Overall, the Romanian IT industry is in bloom. Its favorable business climate and growing external investments let Romanian IT companies attract top clients looking for developers in Eastern Europe. Local ICT experts can cover the need in both common programming languages and expertise in-demand sectors like Finance and Telecommunications. In general, Romania proves to be a great destination if you look for highly-educated professionals who can deal with projects in Finance, Education, Healthcare, and Telecommunications.
If you aim to build a team of Romanian developers, nCube has access to the tech talent market in Eastern Europe. We can set up a skilled team with expertise in your business vertical within a personalized team formation model. Contact us.