As the global demand for IT talent continues to rise, an increasing number of businesses across various industries outsource development projects instead of recruiting in-house specialists.

According to a report published by Gartner, the total IT spending is expected to reach $3.8 trillion in 2019. Data and digital revolution, personalization, and automation are changing the way IT companies operate and offer their services.

In this article, we share the top IT outsourcing trends that will dominate 2019.

Increased Focus on Compliance and Cybersecurity

Increased public awareness coupled with a record number of security breaches has made one trend stand out from the rest: the need to have data sets encrypted and secured. Cyber attacks are targeting major companies with ransomware that puts the sensitive data of millions of citizens across the country at risk.

What’s most disturbing is that these nation-wide attacks are driven by political motives in an attempt to control internet access. According to recent findings published by Spiceworks, numerous technology buyers consider investing in employee security awareness, the most effective measure for preventing successful cyber attacks. The report also highlights increased spending in cybersecurity due to growing security concerns.

Greater role of Artificial Intelligence

Automation represents one of the major IT outsourcing trends that will lead to a number of changes in the near future. Businesses are expected to invest significant amounts of money into Artificial Intelligence (AI) and Robot Process Automation (RPA).

According to a survey carried out by MemSQL, out of the 1,600 marketing executives interviewed, 61% identified AI and Machine Learning as the most significant data initiative in 2019. The use of bots and virtual agents to carry out routine tasks will be common across most industries.

Cloud Sourcing

A large number of businesses migrating to the cloud will cause the demand for cloud computing to skyrocket. Gartner estimates the migration to cloud to affect nearly $1 trillion in IT spending by 2020. Such a trend will result in storage providers opening additional online data centers. Another reason for shifting to the cloud includes increased data security for enterprises.

Shifting to Nearshore Outsourcing

Nearshore outsourcing refers to outsourcing tasks to companies in neighboring countries such as Costa Rica. The benefit of nearshore outsourcing includes reduced costs, improved lines of communication, and increased efficiency and productivity.

These are a few trends that are expected to have a major impact on IT outsourcing in 2019. Outcoding is a nearshore outsourcing company that provides a number of IT services including website, software, and mobile app development. Contact them today for more information.