Ousourcing Trends: Software Development

Outsourced manufacturing is the most common type of third party service used in the development/production of embedded devices. However, the use of third party services in the hardware and software development process isn't far behind.

Research from VDC's recently published Market Statistics report indicates that in the case of outsourced manufacturing, the goal tends to be to reduce costs. However, with hardware and software development, it is more often the demand for additional development resources or the need for assistance in an area that is outside a development team's core competence that drives the demand for third party services.