Vietnam is a “paradise” for software outsourcing for startups in South Korea

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Vietnam has emerged as one of the popular destinations for software development and IT outsourcing services. But among hundreds of choices (prominent outsourcing destinations like India, China, Japan, Ukraine…), what makes Vietnam attractive in the eyes of South Korean startups?

The answer lies in the unique combination of historical background, cultural traditions of the S-shaped country and its strong potential for development in modern IT. This intersection has made Vietnam an ideal destination for foreign technology companies, especially South Korea, wanting to outsource and collaborate on developing new software products.

What makes Vietnam attractive?

Like many East Asian countries, Vietnam has excellent universities, particularly strong in engineering and mathematics. This provides a stable supply of well-trained IT graduates joining the workforce each year.

Vietnamese culture honors science and technology, making IT a prestigious and desirable field of study and career for young people. In the past 20 years, Vietnam has continuously achieved success in Computer Science and Robotics – areas where few ASEAN countries can surpass Vietnam’s fundamentals. This virtuous cycle fosters the rise of the IT workforce.

But what makes Vietnam particularly attractive to foreign companies is that despite having a pool of talented developers, there are not many domestic IT startups or tech giants of international scale. This means foreign companies do not have to compete fiercely to attract talent.

what makes vietnam so attractive

In addition to the workforce advantage, Vietnam also possesses other strengths such as: political stability, no political conflicts or natural disasters; dynamic, hardworking people eager to learn new technologies; moderate climate. . Notably, Vietnam is considered a non-religious country with few severe ethnic issues.

In terms of potential, Vietnam is emerging as one of the top 5 leading IT outsourcing destinations in the world. There are currently around 100,000 programmers, 75,000 content experts working in the industry, plus a new supply of 40,000 IT graduates each year. According to HackerRank, Vietnam ranks in the top 30 countries with the best programmers, particularly ranking 3rd in the world in AI/Machine Learning development capabilities.

A perfect opportunity for startups in South Korea

The software outsourcing cooperation between South Korean companies and software service providers in Vietnam presents great opportunities for both sides. Vietnam’s young, dynamic programming team is ready to “approach and conquer” South Korea’s vibrant technology market. They are proficient in modern software development methodologies like Agile, Scrum, Kanban and cutting-edge technologies like Ruby, Node, Angular.js. All startup innovation terminology and processes are mastered by Vietnamese programmers. Currently, most of Vietnam’s top programmers are working at large software companies, participating in building MVP and technology solutions for South Korean clients.

When collaborating with Vietnam, South Korean startups and businesses also enjoy many other advantages. Travel and trade to Vietnam is very convenient. You can easily find a workforce with good English proficiency. Small software companies understand the thriving startup culture, at least in major cities like Hanoi and Ho Chi Minh City. Vietnam also has modern urban infrastructure, is in the same time zone, and has stable internet connectivity to serve business operations well.

perfect opportunity for startups in korea

Are Vietnamese software developers more expensive?

A notable aspect is that the cost of hiring software personnel in Vietnam is quite competitive, 30-35% lower than China. The average salary for programmers ranges from $25-45 USD/hour depending on the project, skills, experience and company reputation. At this cost, it ensures both quality and work motivation of employees, avoiding the situation of being too cheap like India ($4/hour) but not too expensive like major cities in China (up to $210/hour). Vietnam is filling the cost gap in the region, becoming an attractive destination for outsourcing and software development collaboration.

Evotek is one of the pioneering technology companies that saw the great opportunity in the software development link between Vietnam and South Korea. Evotek Vietnam currently has branches in both countries, with a team of high-quality programmers in Vietnam and a product management and design team in South Korea. This model has helped Evotek become an effective bridge, maximizing the potential of both countries in software development and high-end technology services.

Evotek can work at various price points. For clients looking for a dynamic startup development team that needs good quality, cultural fit, and easier software outsourcing efforts in general, Evotek is currently a top proposition in Vietnam.