Deciding on a destination to outsource IT services to is a complex undertaking and requires careful market analysis. Egypt can compete with other popular outsourcing destinations like East or Central European countries, Asia, or Latin America, but on a much larger scale. Let’s have a look at what makes Egypt attractive as an outsourcing destination and stand out from other outsourcing countries.
The advantages of custom software development in Egypt
Geographical location
Egypt is easily accessible to European, African and Arabic-speaking Countries. Major companies like Uber, Siemens, Nestle and others have chosen Egypt for global operations. A similar time-zone to EMEA countries and variety of languages spoken is another factor that makes this destination attractive. Nearly 90% of data traffic from Asia to Europe passes through Egypt via 14 submarine cables, and 5.335km of optic fiber cables have been laid from the Red Sea to the Mediterranean.
Fast growing IT sector and availability of resources
The IT sector is the fastest growing sector and largest growing contributor to GDP growth. In fiscal year 2021/2022, the country’s digital exports topped $4.9 billion. The supportive government has recognized the importance of the country’s digital transformation and built technology parks across Egypt and is investing a huge amount of money in ’Knowledge City’, the New Administrative Capital in Cairo. Knowledge City is home to the specialized University in Communications and Information Technology across the Middle East and Africa, which collaborates with U.S. and Canadian Institutions.
Large talent pool
Egypt boasts a large workforce with IT skills beyond the market’s needs. In 2022, Egypt ranked 4th globally in the number of freelancers. Building up the capability of IT professionals starts from grade 4, where the Ministry of Communications and Information Technology identifies talented students in eligible schools to give them a more advanced curriculum. Apart from the formal education system, there are several programs at the Information Technology Institute and the National Telecom Institute for non-IT graduates, giving graduates the opportunity to change careers and join the growing IT industry. The educational facilities graduate 50,000 IT professionals every year in a broad spectrum of qualifications such as AI, Cybersecurity, or IC design. For example, Nile University offers diplomas in big data and analytics.
Supportive government
Egypt has passed data protection laws based on the European GDPR to protect businesses and investors. Free trade agreements with 70 countries, growing innovation ecosystems, and high quality and upscaling infrastructure make doing business in Egypt easy. The legislation also allows start-ups and business to register remotely without having a physical office space. The regulations for the technology sector are kept simple to avoid confusion and complexity. Also, tax incentives for R&D have been introduced.
These aren’t the only factors that make Egypt an attractive destination for outsourcing custom software development. The advantages of software development in Egypt can be influenced by numerous factors such as the level of technical education, government policies, cost of living, and the local business environment. Here are some further benefits.
- Cost-effective: Compared to software developers in Western countries, those in Egypt often provide more affordable rates, helping to reduce project costs.
- Educated workforce: Many software developers in Egypt have strong educational backgrounds, with degrees from reputable universities and institutions.
- Large talent pool: Egypt has a large and growing pool of software developers, making it easier for businesses to find the skills they need.
- Fluency in multiple languages: Many Egyptian software developers are bilingual, or even multilingual, typically speaking Arabic and English fluently, which aids in global communication.
- Government support: The Egyptian government is increasingly supportive of the tech industry, leading to advancements in education, infrastructure, and policies that benefit software developers and tech businesses.
- Cultural and time zone proximity: For businesses in Europe, the Middle East, and Africa, Egyptian software developers are in a relatively close time zone and share a closer cultural understanding, which can aid in communication and collaboration.
- Growing tech scene: Egypt's tech scene is growing, leading to more tech meetups, communities, and events, which foster an environment of learning and innovation.
- Strong problem-solving skills: Egyptian software developers are generally known for their strong problem-solving skills, a trait highly valued in the programming world.
- Willingness to learn and adapt: Egyptian developers tend to be open to learning and adapting to new technologies, languages, and methodologies, ensuring they stay up-to-date in the rapidly evolving field of software development.
- Competence in various technologies: Many Egyptian software developers have competence in various technologies and software development frameworks, allowing them to handle a wide range of projects and tasks.
Additionally, Egypt has no shortage of higher education focused on the IT industry, and there are various universities in Egypt known for their IT programs. Some examples include the American University in Cairo (AUC)’s Department of Computer Science and Engineering, Cairo University’s Faculty of Computers and Information, and Ain Shams University’s Faculty of Computer and Information Sciences. These Egyptian universities and many more are known for their varied and robust programs in areas like software engineering, IT, and computer science, providing students with the knowledge and skills needed for the rapidly evolving tech industry.
Offshore custom software development
The role of custom software development in Egypt
The role of custom software development in Egypt involves designing, creating, deploying, and maintaining software tailored to meet specific user or a group of user needs within an organization. Unlike off-the-shelf software solutions, which are produced for a mass market, custom software is designed to accommodate a company's particular preferences and requirements. Market pressures drive businesses to restructure their businesses, streamline processes and reduce Time to Market (TTM). Custom software development can help businesses to manage those pressures and help them grow.
The advantages of custom software development
The advantages of custom software development include better efficiency, scalability, and lower integration costs. Such software is built from scratch to streamline business operations, resulting in enhanced productivity. It offers scalability tailored to business growth, ensuring the software can handle an increase in workload over time. Furthermore, integration costs are reduced, as custom software is designed to assimilate seamlessly with a company's existing software environment. Outsourcing custom software development will save businesses hiring costs and time as you can find the right talent for your project and start working straight away.
To learn more about the benefits you can get from custom software development, read the full article: Revolutionize Your Business With Custom Software Development.
Top custom software development companies in Egypt
There are a large number of software development companies in Egypt, but if your project is complex, your choices might be reduced. The IT sector in Egypt is still young, so finding senior and experienced software developers could pose a challenge. As a result, it’s important to find the right company for you.
How to choose the right custom software development company in Egypt for your project
Here are some tips that can help you select the right software development company in Egypt for your project:
- Clearly outline your project’s goals, scope and specific requirements.
- Conduct thorough research to identify software development companies in Egypt. Look for their websites, portfolios, and client testimonials to assess their expertise, experience, and projects they have worked on in the past.
- Verify the company’s certifications, industry partnership, and awards. Evaluate their technical expertise in the specific technologies, programming languages and frameworks relevant to your project. If possible, contact the company’s previous clients for feedback.
- Assess the company’s project management methodologies, communication channels and their ability to provide regular updates and progress reports.
- Assess the cultural compatibility as, factors like English proficiency, time-zone differences, and work culture can impact collaboration and communication.
- Learn about the team’s expertise, skillset, and experience in working on similar projects.
- Request detailed pricing proposals and contract terms for shortlisted companies.
- Assess the outsourcing company’s approach to security, data protection, and intellectual property rights. Ensure the industry-standards security practices are followed and measures in place to safeguard your confidential information.
- If feasible, visit the shortlisted companies in Egypt to meet the team in person and gain a better understanding of their work environment, and company culture.
- If your goals are ambitious regarding your future business expansion, consider IT system scalability and future-proofing so you don’t need to change the core technology every three or four years.
- If you are unsure about committing to a long-term engagement, consider starting with a smaller project to assess the outsourcing company’s capabilities and compatibility with your organization.
Read on: How To Find The Best Software Development Company
Our recommendation
Rare Crew is one of the top custom software development companies around, with a head office in Bratislava and branches in India, Serbia, UK and Egypt. The company has a proven record of delivering high quality products and services to globally well-known companies for the last 12+ years. Rare Crew’s services include:
- Custom Development
- Mobile Applications
- Business Intelligence & Analytics
- UI/UX
- Software Testing
The company uses advanced technologies and top project management tools which make collaboration across multiple time-zones easy and efficient. Rare Crew’s highly skilled IT professionals (150+) are accustomed to quick onboarding and have a deep understanding of industry standards. You can read about Rare Crew on Clutch, the Manifest, Azure Marketplace, Dribble and Press.
Rare Crew opened its office on Al Moahda Street in Mit Ghamr, Egypt in 2023. By choosing Egypt’s strategic geographical location, we aim to offer our high-quality services to Arabic-speaking countries and give Egyptian talents the opportunity to grow. We welcome newcomers to our software development team – those who are interested can apply at jobs@rarecrew.com. Alternatively, if you represent a business and would like to discuss your project development, contact us at sales@rarecrew.com.
The combination of the large talent pool, competitive cost, excellent geographical location, fast growing modern infrastructure, and tremendous effort of the Egyptian government to digitally transform the country has already attracted many investors and multinational companies. If you are looking to grow and innovate your business, taking advantage of Egypt’s booming offshore IT Industry could be the answer.
Why collaborate with Rare Crew?
In a rapidly evolving digital landscape, staying competitive requires more than just keeping pace - it demands innovation and personalization. Custom software development offers an avenue for this, enabling businesses in Mit Ghamr to meet their unique needs and objectives. The city's burgeoning tech scene offers plenty of opportunities for businesses to partner with experienced software development companies. As one of the top app developers in Egypt, Rare Crew is here to help you bring your business into a new era of digitalization and progress. If your business is ready to harness the power of custom software, why not explore our services, check out our reviews, or get in touch with any questions? We are ready to help.
