Is software getting cheaper when software engineers are getting costlier? This paradox can be examined in the light of many contributing factors.
There is no denying the fact that the demand for software solutions has remained intact. Across industries, enterprises are increasing their budgetary allocation for software services. On the supply side, the software industry is flush with domestic and international players with skilled resources, competing to provide exemplary services at competitive prices.
The software industry has come of age. With abundant experience across most technologies, companies are able to reduce project lifecycle and delivery times. Also, advances in software tools and components have contributed to faster turnaround times. Overhead and delivery costs are now better managed and kept at a minimum. All these factors are collectively helping to lower software development costs.
However, for the very same reasons – vast experience and enhanced skill sets – good software engineers command a higher price. So, technology vendors are engaged in a delicate balancing act – keeping a lid on software prices even as their staffing costs go up. And do all of this without compromising quality.