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Top 10 cities to hire developers

Top 10 cities to hire developers

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Josephine Mariñas
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January 24, 2020
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6 min read
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According to StackOverflow, the demand for software developers still outpaces the supply. Research reveals that in the US alone, tech talent shortage is predicted to cost the country USD 435.7 billion.

Unfortunately, businesses in major tech countries such as the US and the UK have long been suffering because of the rapid growth of tech industries and the shortage of talented developers. Hence, several firms across the globe have started to look beyond their local talent pool and hire software developers online or offshore.

Between hiring freelancers online and dedicated development teams offshore, offshoring has long been a popular choice for tech firms. According to Deloitte’s 2016 Global Outsourcing Survey, 59% of the respondents outsource talent because of the affordability factor. Other reasons stated in the survey were:

  • It Outsourcing services enables a business to focus on its core functions
  • Outsourcing solves capacity issues
  • Outsourcing improves the quality of services, and more

In 2016, Tholons released a report—Top 100 Outsourcing Destinations. The list featured popular cities from across the globe where you can find and hire developers.

Most cities in the top 10 were from India. Hence, to give a wider representation of all the popular outsourcing regions, we listed down one city per country according to rank.

With that said, here are the top 10 cities across the globe where you can find and hire developers.

Top 10 cities to hire developers

1. Bangalore, India

Tholons 2016 Top 100 Outsourcing Destinations ranked Bangalore, India as the number one destination to hire software developers/programmers. The city is popularly known for its low-cost developer rates.

According to PayScale, an average software engineer in Bangalore gets paid INR 799.50 per hour. That’s USD 11 per hour, which is quite affordable for businesses, especially early-stage startups.

Bangalore boasts of its large pool of software engineers. In fact, it’s estimated that around 175,000 developers out of 500,000 software engineers in India can be found in Bangalore.

Because of these factors as well as the city’s booming IT industry, global startups and big tech companies flock to Bangalore to set up their businesses or hire developers offshore.

2. Manila, Philippines

Just like Bangalore, Manila is a good place to look for developers, with competitive rates. The low salary rates are due to the low cost of living in the country.

Second to Bangalore, Manila is a popular destination to hire developers. Even though Manila is popularly known as the BPO capital of the world, it also has a thriving IT outsourcing industry.

One of Manila’s main advantages is its English-fluent developers. In fact, 70% of Filipinos are fluent in English, according to the Philippine Board of Investments.

It’s also officially the country’s second language. Hence, many global companies choose to work with Filipino developers owing to the ease of communication in terms of language and culture.

3. Krakow, Poland

Krakow’s rapid growth in producing tech professionals stems from its high number of universities and employment opportunities in the country.

According to The Fight for the Future: How People Defeated Hollywood and Saved the Internet—For Now by Edward Lee, the city has a total estimate of 170,000 students, making it an ideal destination for hiring young developers.

In addition, the 2019 A.T. Kearney Global Services Location Index ranked Poland as one of the best outsourcing locations because of the country’s availability of tech talent and financial attractiveness.

Also, it is one of the nearest locations for European businesses to hire software developers from. Krakow is around 1.5 kilometers away from the UK, making it one of the most accessible and easiest places for remote cooperation for UK firms.

Because of the city’s quality and quantity of tech talent, Krakow has become one of the best IT outsourcing cities in the world.

4. Dublin, Ireland

In addition to Krakow, Dublin has risen to become one of the best cities to hire developers in Eastern Europe.

Besides the affordable developer rates, Dublin takes pride in its repository of tech talent. According to Stack Overflow, out of all the cities in the British Isles, Dublin has the highest number of programmers, totaling more than 60,000 people. The most dominant programming languages in the city are Java, Python, and Ruby.

Major tech brands such as Amazon Web Services, HubSpot, and MongoDB have also set up businesses in Dublin due to the growing tech industry and tech talent pool in the city.

5. San Jose, Costa Rica

The capital city of Costa Rica has emerged to become an attractive destination to hire remote developers, especially for US tech firms.

One of the reasons for its popularity is its central time zone. When offshoring, most countries have an overlapping time of at least 4 business hours. In Costa Rica, the country is 2 hours ahead in the West Coast and 1 hour behind in the East Coast.

This means that remote teams can almost have a full working day of overlapping times. This allows for a longer and smoother real-time collaboration between businesses and remote teams.

Additionally, the country boasts of a highly educated workforce. According to The Global Competitiveness Report of 2017, Costa Rica was ranked as a leader in quality education in Latin America.

Businesses that are looking to hire tech talent in San Jose can be assured of developers who are experts in their fields and have good English speaking skills.

These factors have made San José a global hub for tech talents.

6. Shanghai, China

Over the past two decades, China’s IT industry has significantly grown and has become an innovative leader in the global IT industry. Among its cities, Shanghai has evolved to become one of the country’s biggest and most popular tech hubs.

Despite the high-level skills of Chinese developers, they are not as expensive. In an article by Nova Software, President of BearingPoint Bryan Huang said that an engineer with a $4,000 per month salary in the US would cost an equivalent of $500 in Shanghai.

The country’s huge population, inexpensive rates, and its booming tech industry have made it an ideal destination for global tech companies for hiring top tech talent.

7. Prague, Czech Republic

Among the cities in Central Europe, Prague has become a center for finding and hiring software developers/programmers, researchers, bookkeepers, and candidates for various other white-collar jobs.

Tech giants such as Google, IBM, Microsoft, and Oracle have invested and outsourced in the country because of its promising tech talent. In fact, according to the World Population Review, businesses across Europe come to the city to establish their headquarters, which now accounts for 25% of the country’s GDP.

Apart from its workforce and location, another advantage of looking for a developer in Central Europe is the region’s knowledge in a variety of languages.

Developers can effectively communicate in English, German, French, and other local languages. Overall, convenience in location, communication, and culture make Prague a good destination to hire tech talent.

8. Kuala Lumpur, Malaysia

Even though Malaysia has a smaller pool of tech talent, businesses flock to the country’s capital to hire offshore dedicated developers because of its political and financial stability and multilingual workforce.

In fact, in 2015, Malaysia was ranked 4th in financial market development globally by the World Economic Forum.In addition, the Government of Malaysia has a number of long-term initiatives for IT products and services such as building fast broadband infrastructure and attracting companies to look at the country as a global information and communications technology (ICT) industry.

According to Electrica Technology, the high level of internet penetration and digital adoption in the country make it an attractive market for Australian FinTech solutions.

Malaysia couldn’t compete with the nearby countries in terms of BPO, so they ventured into offering value-added services such as skills in IT.

9. Ho Chi Minh, Vietnam

Ho Chi Minh has recently emerged as an attractive destination to find and hire developers because of its low-cost rates but quality output.

In addition to attracting western businesses, Vietnam has also piqued the interest of Japanese businesses. In an Asian Review article, one of the things that draws Japanese businesses to the country is that more than 100,000 Vietnamese are learning the Japanese language.

Also, the government supports the country’s IT sector and provides legal and financial incentive packages, making it an ideal destination for global businesses.

10. Johannesburg, South Africa

The Top 100 Outsourcing Destinations report identified three cities from South Africa. Johannesburg ranked at 20, which was one notch above its 2015 ranking.

Johannesburg performed better in ranking than other South African cities due to its quality outsourcing services in areas of IT, CRM, KPO, finance, among others. The region’s cost-competitiveness, neutral accent, and cultural alignment have made it an inviting destination for businesses, especially small startups.

In 2030, the country’s outsourcing outlook is expected to account for 4% of global revenues, according to a report by Deloitte.

When hiring developers, keep this in mind…

When choosing where to hire a software developer from, keep in mind that there’s no one-size-fits-all approach. Each destination has its own strengths and weaknesses in services, rates, and cultural and political compatibility.

Fortunately, there are thousands of offshore providers that cater to tech firms and startups across the globe. Partnering and working with an offshore provider allows businesses to source the right talent and to securely work with their offshore team.

If you’re looking for tech talent, you can find and hire developers at Cloud Employee, HackerEarth, People Per Hour, Upwork, among others.

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Author
Josephine Mariñas
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January 24, 2020
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6 min read
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A New Era of Code

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From Machine Language to Natural Language

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The Promise and the Pitfalls

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AI-powered coding tools like GitHub Copilot and AWS’s Q Developer have demonstrated significant productivity gains. For instance, at the National Australia Bank, it’s reported that half of the production code is generated by Q Developer, allowing developers to focus on higher-level problem-solving . Similarly, platforms like Lovable enable non-coders to build viable tech businesses using natural language prompts, contributing to a shift where AI-generated code reduces the need for large engineering teams. However, there are challenges. AI-generated code can sometimes be verbose or lack the architectural discipline required for complex systems. While AI can rapidly produce prototypes or simple utilities, building large-scale systems still necessitates experienced engineers to refine and optimize the code.​

The Economic Impact

The democratization of code generation is altering the economic landscape of software development. As AI tools become more prevalent, the value of average coding skills may diminish, potentially affecting salaries for entry-level positions. Conversely, developers who excel in system design, architecture, and optimization are likely to see increased demand and compensation.​
Seizing the Opportunity

Vibe coding is most beneficial in areas such as rapid prototyping and building simple applications or internal tools. It frees up valuable time that we can then invest in higher-level tasks such as system architecture, security, and user experience. When used in the right context, AI becomes a helpful partner that accelerates the development process without replacing the need for skilled engineers.

This is revolutionizing our craft, much like the shift from machine language to assembly to high-level languages did in the past. AI can churn out code at lightning speed, but remember, “Any fool can write code that a computer can understand. Good programmers write code that humans can understand.” Use AI for rapid prototyping, but it’s your expertise that transforms raw output into robust, scalable software. By honing our skills in design and architecture, we ensure our work remains impactful and enduring. Let’s continue to learn, adapt, and build software that stands the test of time.​

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Guide to Conducting Successful System Design Interviews in 2025

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What is a System Design Interview?

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How they navigate technical complexity and navigate uncertainty
How they meet expectations of scale, security and speed
How they focus on the bigger picture without losing sight of details

This assessment of the end-to-end thought process and a holistic approach to problem-solving is what the interview should focus on.

What are some common topics for a System Design Interview

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How would you approach the design of a social media app or video app?

What are some ways to design a search engine or a ticketing system?

How would you design an API for a payment gateway?

What are some trade-offs and constraints you will consider while designing systems?

What is your rationale for taking a particular approach to problem solving?

Usually, interviewers base the questions depending on the organization, its goals, key competitors and a candidate’s experience level.

For senior roles, the questions tend to focus on assessing the computational thinking, decision making and reasoning ability of a candidate. For entry level job interviews, the questions are designed to test the hard skills required for building a system architecture.

The Difference between a System Design Interview and a Coding Interview

If a coding interview is like a map that takes you from point A to Z – a systems design interview is like a compass which gives you a sense of the right direction.

Here are three key difference between the two:

Coding challenges follow a linear interviewing experience i.e. candidates are given a problem and interaction with recruiters is limited. System design interviews are more lateral and conversational, requiring active participation from interviewers.

Coding interviews or challenges focus on evaluating the technical acumen of a candidate whereas systems design interviews are oriented to assess problem solving and interpersonal skills.

Coding interviews are based on a right/wrong approach with ideal answers to problem statements while a systems design interview focuses on assessing the thought process and the ability to reason from first principles.

How to Conduct an Effective System Design Interview

One common mistake recruiters make is that they approach a system design interview with the expectations and preparation of a typical coding interview.
Here is a four step framework technical recruiters can follow to ensure a seamless and productive interview experience:

Step 1: Understand the subject at hand

  • Develop an understanding of basics of system design and architecture
  • Familiarize yourself with commonly asked systems design interview questions
  • Read about system design case studies for popular applications
  • Structure the questions and problems by increasing magnitude of difficulty

Step 2: Prepare for the interview

  • Plan the extent of the topics and scope of discussion in advance
  • Clearly define the evaluation criteria and communicate expectations
  • Quantify constraints, inputs, boundaries and assumptions
  • Establish the broader context and a detailed scope of the exercise

Step 3: Stay actively involved

  • Ask follow-up questions to challenge a solution
  • Probe candidates to gauge real-time logical reasoning skills
  • Make it a conversation and take notes of important pointers and outcomes
  • Guide candidates with hints and suggestions to steer them in the right direction

Step 4: Be a collaborator

  • Encourage candidates to explore and consider alternative solutions
  • Work with the candidate to drill the problem into smaller tasks
  • Provide context and supporting details to help candidates stay on track
  • Ask follow-up questions to learn about the candidate’s experience

Technical recruiters and hiring managers should aim for providing an environment of positive reinforcement, actionable feedback and encouragement to candidates.

Evaluation Rubric for Candidates

Facilitate Successful System Design Interview Experiences with FaceCode

FaceCode, HackerEarth’s intuitive and secure platform, empowers recruiters to conduct system design interviews in a live coding environment with HD video chat.

FaceCode comes with an interactive diagram board which makes it easier for interviewers to assess the design thinking skills and conduct communication assessments using a built-in library of diagram based questions.

With FaceCode, you can combine your feedback points with AI-powered insights to generate accurate, data-driven assessment reports in a breeze. Plus, you can access interview recordings and transcripts anytime to recall and trace back the interview experience.

Learn how FaceCode can help you conduct system design interviews and boost your hiring efficiency.

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Impact of Online Assessments in Technical Hiring


In a digitally-native hiring landscape, online assessments have proven to be both a boon and a bane for recruiters and employers.

The ease and efficiency of virtual interviews, take home programming tests and remote coding challenges is transformative. Around 82% of companies use pre-employment assessments as reliable indicators of a candidate's skills and potential.

Online skill assessment tests have been proven to streamline technical hiring and enable recruiters to significantly reduce the time and cost to identify and hire top talent.

In the realm of online assessments, remote assessments have transformed the hiring landscape, boosting the speed and efficiency of screening and evaluating talent. On the flip side, candidates have learned how to use creative methods and AI tools to cheat in tests.

As it turns out, technology that makes hiring easier for recruiters and managers - is also their Achilles' heel.

Cheating in Online Assessments is a High Stakes Problem



With the proliferation of AI in recruitment, the conversation around cheating has come to the forefront, putting recruiters and hiring managers in a bit of a flux.



According to research, nearly 30 to 50 percent of candidates cheat in online assessments for entry level jobs. Even 10% of senior candidates have been reportedly caught cheating.

The problem becomes twofold - if finding the right talent can be a competitive advantage, the consequences of hiring the wrong one can be equally damaging and counter-productive.

As per Forbes, a wrong hire can cost a company around 30% of an employee's salary - not to mention, loss of precious productive hours and morale disruption.

The question that arises is - "Can organizations continue to leverage AI-driven tools for online assessments without compromising on the integrity of their hiring process? "

This article will discuss the common methods candidates use to outsmart online assessments. We will also dive deep into actionable steps that you can take to prevent cheating while delivering a positive candidate experience.

Common Cheating Tactics and How You Can Combat Them


  1. Using ChatGPT and other AI tools to write code

    Copy-pasting code using AI-based platforms and online code generators is one of common cheat codes in candidates' books. For tackling technical assessments, candidates conveniently use readily available tools like ChatGPT and GitHub. Using these tools, candidates can easily generate solutions to solve common programming challenges such as:
    • Debugging code
    • Optimizing existing code
    • Writing problem-specific code from scratch
    Ways to prevent it
    • Enable full-screen mode
    • Disable copy-and-paste functionality
    • Restrict tab switching outside of code editors
    • Use AI to detect code that has been copied and pasted
  2. Enlist external help to complete the assessment


    Candidates often seek out someone else to take the assessment on their behalf. In many cases, they also use screen sharing and remote collaboration tools for real-time assistance.

    In extreme cases, some candidates might have an off-camera individual present in the same environment for help.

    Ways to prevent it
    • Verify a candidate using video authentication
    • Restrict test access from specific IP addresses
    • Use online proctoring by taking snapshots of the candidate periodically
    • Use a 360 degree environment scan to ensure no unauthorized individual is present
  3. Using multiple devices at the same time


    Candidates attempting to cheat often rely on secondary devices such as a computer, tablet, notebook or a mobile phone hidden from the line of sight of their webcam.

    By using multiple devices, candidates can look up information, search for solutions or simply augment their answers.

    Ways to prevent it
    • Track mouse exit count to detect irregularities
    • Detect when a new device or peripheral is connected
    • Use network monitoring and scanning to detect any smart devices in proximity
    • Conduct a virtual whiteboard interview to monitor movements and gestures
  4. Using remote desktop software and virtual machines


    Tech-savvy candidates go to great lengths to cheat. Using virtual machines, candidates can search for answers using a secondary OS while their primary OS is being monitored.

    Remote desktop software is another cheating technique which lets candidates give access to a third-person, allowing them to control their device.

    With remote desktops, candidates can screen share the test window and use external help.

    Ways to prevent it
    • Restrict access to virtual machines
    • AI-based proctoring for identifying malicious keystrokes
    • Use smart browsers to block candidates from using VMs

Future-proof Your Online Assessments With HackerEarth

HackerEarth's AI-powered online proctoring solution is a tested and proven way to outsmart cheating and take preventive measures at the right stage. With HackerEarth's Smart Browser, recruiters can mitigate the threat of cheating and ensure their online assessments are accurate and trustworthy.
  • Secure, sealed-off testing environment
  • AI-enabled live test monitoring
  • Enterprise-grade, industry leading compliance
  • Built-in features to track, detect and flag cheating attempts
Boost your hiring efficiency and conduct reliable online assessments confidently with HackerEarth's revolutionary Smart Browser.
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