According to research from the Korn Ferry Institute, the technology industry will be 4.3 million workers short by 2030. This talent shortage places software development skills in high demand. As companies struggle to find developer talent, an increasing number are turning to nearshore development services to fill internal skills gaps.
Nearshore software development involves outsourcing work to a region that’s geographically close to the host country. For example, many U.S. companies outsource development to Latin America. With nearshore outsourcing, companies don’t lose valuable time hiring full-time staff and training them. Nearshore developers are already fully trained and ready to start working on projects immediately.
In 2019, some of the most in-demand skills for software developers are:
- Artificial Intelligence (AI)
- Internet of Things (IoT)
Let’s take a look at each of these software development skills in more detail:
Artificial Intelligence (AI)
Statista reports that the global AI market is expected to reach $89.85 billion in 2025. And the AI Index 2018 report found that the number of U.S. startups focusing on AI increased by 113% between 2015 and 2018.
As Artificial Intelligence starts to make inroads into the general business landscape, the demand for AI software developers is increasing. It’s already being used by email providers, retail stores and healthcare providers to automate ‘human’ tasks.
As demand for AI grows, companies are finding it increasingly difficult to find tech workers with the required skillset. IBM recently predicted that by 2020, there will be around 2.7 million job openings in AI. These figures suggest that the current tech talent pool can’t keep up with demand.
Internet of Things (IoT)
According to Statista, the number of Internet of Things (IoT) connected devices worldwide will amount to 75.44 billion by 2025, which is a fivefold increase over the last decade.
Connecting devices with IoT technologies requires the ability to integrate data and incorporate sensors into household conveniences like door locks and light switches.
In 2017, technology company Cisco found that only 26% of businesses consider their IoT project a complete success. Given that IoT projects require careful planning and can be difficult to budget for, their unpredictability creates an essential need for skilled developers who can validate IoT project ideas and create prototypes.
Worldwide spending on blockchain is expected to grow from 1.5 billion in 2018 to 11.7 billion by 2022. And It’s not just the financial sector that’s taking advantage of the decentralized benefits of the technology. Blockchain is a growing list of transactions made in bitcoin and other cryptocurrencies that are maintained across several computers linked in a peer-to-peer network. The technology has taken hold in almost every industry from fashion to pharmaceuticals.
One of the benefits of working with nearshore developers with a deep knowledge of blockchain is that they can help companies work in a smarter way. They can help reduce risks and improve traceability and security. In turn, this enables companies to create trustworthy networks and achieve verification without relying on third-parties.
According to the Ponemon Institute’s data breach study, the average data breach costs businesses $3.9 million.
Cybersecurity affects almost every business and an increasing number of companies are turning to the software industry for support. A recent report conducted by Microsoft reveals that 70% of small businesses would prefer to pay for cybersecurity support than do it themselves.
The rise in demand for cybersecurity expertise has created a global skills shortage. According to Cybersecurity Ventures, there will be 3.5 million unfilled cybersecurity roles by 2021. A nearshore software development team with a good reputation for building security into software products can companies bridge their skills gaps.
Artificial Intelligence is already being used in several industries to automate ‘human’ tasks. As demand for AI increases, so will the need for experienced nearshore developers. As the number of IoT connected devices increases, developers with a track record of integrating data and sensors into household conveniences are very valuable.
As a result of these emerging trends, tech job seekers with specific expertise in new technologies will be in high demand. Developers with a proven track record of working with AI, IoT and blockchain in particular, will see opportunities open up in offshore as well as onshore software development.
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