A new report by East-West Digital News in collaboration with AVentures offers a comprehensive overview of the Ukrainian IT outsourcing and software R&D capacities in 2015.
The report chronicles the continued growth of the Ukrainian IT outsourcing sector at the time of economic and political crisis and explains how it can do better.
According to the report, Ukraine (population: roughly 45 million) is home to nearly 100,000 software developers and other technology specialists, and more than 1,000 local companies specialising in IT services. By 2020, this figure is actually expected to double.
The country has seen its IT service and software R&D capacities grow by double-digit figures in recent years, with the help of 100+ global technology companies.
According to the report, companies like Rakuten, Huawei, Oracle, Opera, Cisco, Ubisoft, Samsung, Wix and many others currently have R&D activities in Ukraine.
A significant part of these global companies entered the market indirectly, through M&A activity, joint R&D with an outsourcing component, or out-staffing service companies.
The report says the United States remains Ukraine’s largest partner for joint R&D activities (around 45% of the companies involved), followed by EU countries and Israel. Kyiv (Kiev) is the most popular location in Ukraine for opening an R&D center, concentrating over half of all such bases in the country.
The English proficiency level among IT professionals in Ukraine has grown significantly over the past few years, according to the report, yet it remains lower than that of some other CEE countries.