Software Development in Germany: Key Facts
Germany is considered one of the most comfortable countries of the world. Germany’s highly developed economy attracts specialists from many areas from all over the world who want to realize themselves, work in comfortable conditions, receive a stable high income, and get the cherished line in their resume. Germany is primarily popular with its achievements in technology, irreproachable performance of work, and discipline. After all, you probably heard the story that even at a dead of night, on an empty road, a native German will not cross the street to a red light. Consequently, software development Germany skills are also highly valued in many other countries from around the world, especially for software development Switzerland provides, as well as the United Kingdom, the United States, and etc.
German Software Development Industry Among Other Industry
However, the German economy is dominated by other industries. Over the German software programming industry, as well as over the others, mainly dominated by mechanical engineering industry, electrical, coal, chemical, shipbuilding and, of course, the automobile industry. Mathematical talents, and abilities in technical fields, even for a beginner software German engineer make good advertising. In addition, in any German city there are many vacancies for custom German software development. During the search for a job, you can meet job offers even to citizens not only from the European Union, but to third world citizens also. Many software developers dream of getting a job in Germany. Not surprisingly, the German companies of IT sector so popular among competitors, because they are constantly in need of specialists of similar profile and provide them with a comfortable and sometimes luxurious, working conditions. Published data of GTAI in 2016, showed that the IT sector in Germany is the most popular in Europe. According to the results, In 2015, the entire scope of software development in the European Union, contained 24.4% of the market from Germany. The largest market share in Europe.
Number of Software Development Companies in Germany
According to statistics from the Statista, in 2015, almost 86,000 companies operating in the software development industry were registered in Germany. The statistics included data for all companies, with an annual income from 17,500 EUR to 250,000,000 EUR. The GTAI also published studies in which they indicated the growth schedule of the software industry in Germany from 2014 to the next 2019. The annual growth rate in 2014 was higher and amounted to 8%. A year later, the coefficient was slightly below the level of 6% and until 2018, smoothly continued to drop to 5%. Data from the Statista are almost the same. GTAI forecasted that in 2019, the mark of the annual growth in the volume of the software market, will drop to 5%.
The Largest Software Development Cities in the Country
We can start from Berlin. This city can not be called a city for traditional enterprises. However, the IT industry has already grown deep in its city. In addition, the country’s capital is a popular location for many beginner projects. First of all, it will be easier for companies to find developers here. The second, and probably more significant reason is Silicon Alley. Thanks to this, developers of IT sector consider Berlin to be the European capital of startups and modern software development solutions. In 2014, the largest number of venture capital investments was in London.
The second suitable city for any enterprise software development company is Munich. Experienced developers and company executives will be surrounded by the best prospects. On the Glassdoor website, vacancies for a software engineer in Munich are almost one thousand more than the number of vacancies for Berlin.
For beginners will be interesting the city of Stuttgart. You can find a lot of well-paid offers for internships in this city, which is a good opportunity for students and young developers. For programmers associated with the financial sphere, it is worth paying attention to the city of Frankfurt, where all the biggest offices and companies. This is the center of all entrepreneurs.
Cost of Hiring Developer in Germany vs Ukraine
Professional IT developers are highly appreciated by employers in Germany. Therefore, finding a job will not be easy for a programmer, but it is much easier than finding an engineer or a doctor vacancy. Especially it is easier for an foreigner. The level of salary, workplace, collective, processing and other conditions will depend on the software development services company who has a proposition. According to PayScale internet service, average annual incomes in Berlin, and in Munich are $69,000, and almost $59,000 respectively. However, an average salary of a middle level software engineer in Germany is $58,000. A very impressive amount. Therefore, to accomplish some tasks, in order to save money, many companies, not only in Germany, turn to software development solutions for outsource. You can notice, that nowadays Ukrainian dedicated development companies are in cooperation with many other countries. For comparison, the average salary of software engineer in Ukraine is $26,000.
Cost of Living in Germany vs Ukraine
To understand why specialists from Germany and other European countries cooperate with dedicated teams and outsourcing companies from Ukraine, you should pay attention not only to the level of salaries, but also the cost of living in the country. Living in Ukraine is about 56% less than in Germany. Let’s take a closer look. Costs of basic utilities in Ukraine is only $64, while in Germany it is almost four times more and is around $253. For three bedroom apartment in Germany you will give $1512 in the city center, and approximately $553 for single bedroom flat outside city center. In Ukraine these numbers will be $659, and $247 respectively. To buy an apartment somewhere outside city center in Germany costs $2,717 sqm, and is only $834 in Ukraine. Nevertheless, in Ukraine there are many qualitative developers who have already found job in Germany or are already working for custom German software development solutions.
Hiring Dedicated Team in Ukraine is a Cost-Effective Solution
In Ukraine, there are many companies that are focused only on software development solutions. Many of them are very popular among European countries. First of all, it is because of the lower cost of the developer. Also, most of the clients of Ukrainian dedicated teams are European companies, due to a small time difference. Low developer salary does not mean low quality of a software remote developer. The Ukrainian developer with the specified average salary by the standards of local residents receives very good money in terms of hiring. Thus, recruiting dedicated development teams makes sense, especially from Ukraine.