Central & Eastern Europe IT Outsourcing Review

Kiev, April 29, 2008 – By the results of the

“Central & Eastern Europe IT Outsourcing Review ‘2007”

, conducted by Ukrainian Hi-Tech Initiative with the support of information portal ITONews.eu, Baltic Outsourcing Association (Lithuania), Employers’ Association of the Software and Services Industry (Romania) and JNN Consult Ltd (Bulgaria) – in 2007 IT Outsourcing market of the Central and Eastern Europe reached a volume of 3 bln. US dollars.

The research was conducted in August-February 2007-2008. National IT associations, as well as the largest IT companies, from 16 countries of the region responded to the survey. The main goal of the research was getting a whole overview of the potential of CEE as a cluster of provision of the nearshore IT outsourcing services for the EU countries and offshore outsourcing services for the USA.

The research examined key development indicators of IT Outsourcing market in Central and Eastern Europe region: market volume, number of professionals, number of IT companies providing outsourcing services, cost of one professional for the end customer. Independent experts Christian Berner, Natasha Starkell, Parvis Hanson, and Maryna Yaroshchuk provided their views on the IT Outsourcing markets of Central and Eastern European region.

In accordance with experts’ opinions, main indicators of IT Outsourcing industry development take Central and Eastern Europe to the level of such global outsourcing centers as India, China, and Russia.

The data, presented by the largest IT companies and national IT Associations showed that in 2007 IT outsourcing market volume of CEE region reached 3 bln US dollars. Among 16 examined countries, the leading in market volume were: Ukraine, Romania, Hungary, Poland and Czech Republic. Ukraine, Romania, Belarus, Poland and Bulgaria were in the lead regarding the number of IT companies. The attempt was made to calculate also minimum and maximum annual cost per service of one IT professional for the end customer in each of the countries. Among the most “expensive” countries were Poland, Hungary, Romania, Czech Republic and Estonia. Ukraine, Romania, Belarus, Hungary, Bulgaria were the countries with the greatest number of IT professionals involved into IT outsourcing less the administrative personnel.

As Victor Maznyuk, President of Ukrainian Hi-Tech Initiative, noted, this research was conducted for the medium and small companies which purchase IT Outsourcing services. We hope that free distribution of this research will help SME (Small and Medium Enterprises) companies in selecting right partners in the Central and Eastern Europe.
The full version of the research “Central & Eastern Europe IT Outsourcing Review ‘2007” is available at the website www.ITONews.eu.

Ukrainian Hi-Tech Initiative

      Ukrainian Hi-Tech Initiative is a leading Ukrainian alliance of offshore software development and IT outsourcing providers. The mission of the alliance is to promote Ukrainian software development companies in the global market. 
Hi-Tech Initiative provides the Ukrainian software developers with the opportunity to enhance their business in the areas of IT outsourcing and offshore programming by using the partner network and marketing channels of the Initiative in the external markets.   
Ukrainian Hi-Tech Initiative provides the services in establishing partnerships, collaborating in IT projects implementation, assisting in BPO between Ukrainian and western companies.

Ukrainian Hi-Tech Initiative is an organizer of annual Ukrainian Outsourcing Forum – IT business forum dedicated to promotion and development of Ukrainian software development and outsourcing market.


ITONews.eu – information analytic platform about IT Outsourcing in Central and Eastern European countries. The main aim of ITONews.eu is to show activities of IT companies, providers of outsourcing services the most widely and impartially, and to serve as a place for IT outsourcing services providers and customers meetings.
The portal, that started its work in 2008, contents daily updatable news, press-releases, analytic materials, information about global and regional events concerning IT outsourcing.

ITONews.eu gathers, analyzes and distributes information about IT outsourcing markets in CEE countries. The main objective of the information portal is formation of the complete view on the potential of CEE region – the promising cluster for outsourcing services provision and creation of common information flow from Central and Eastern Europe.