Billion-dollar Startups Built With Outsourced Development

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August 18, 2023
IT Outsourcing

Outsourcing has become a common practical solution for companies globally. In fact, according to a 2011 report by Outsourcing Alert 94% of the Fortune 500 companies outsource at least one major business process.

For early startups, outsourcing is often a choice, especially when dealt with budget constraints and manpower limitations. Delegating time-consuming tasks, building core development, and cutting costs up to 65% are common reasons why startup owners choose to outsource.

The following startups built with outsourced development are one of the many who have maximized the benefits of outsourcing and have grown as one of the most successful startups.

Google

What started as a web-based search engine now became a multinational company in Internet-related services. Google’s success is thanks to their practical use of outsourcing for cost-effectiveness. Google has been outsourcing their staff for years whether it may be IT specialists, developers, or virtual assistants. Google has also been recently reported to outsource YouTube’s ad sales to Russia.

IBM

The Big Blue has long been outsourcing its workforce to lower-cost countries like the Philippines, Mexico, China, and India. In fact, IBM consists of 60% offshore staff. Not only is this a way for IBM to cut budget, but also a way to maneuver around the US outsourcing policies.

Skype

Before being sold to Microsoft for $8.5 billion in 2011, Niklas Zennstrom and Dane Janus Friis established Skype. The founders had the idea but lacked the professionals to execute the application. With the help of three back-end developers from Estonia, who later became their partners, Skype has become the well-known video chat and voice calling service for web and mobile app.

Slack

An Instant Messaging-based team collaboration tool, Slack is now a common workplace application and is also often used when working with remote peers. Before releasing the app for a beta test, the four founders outsourced a design firm to polish Slack’s logo, website, and mobile app in just six weeks. As of September 2017, Slack is now worth $5.1 billion.

Whatsapp

In 2009, former Yahoo! employees Brian Acton and Jan Koum launched Whatsapp, a cross-platform messaging, calling, and file sharing. With only a starting capital of around $250,000 and limited staff of 30 full-time employees, Acton and Koum hired offshore developers from Russia for the core development of the app. In just three years after launch, the app gained over 50 million downloads and was later bought by Facebook in 2014 for $19 billion.

Alibaba

Previously featured in one of our blogs, the Chinese e-commerce giant actually started out as a small internet company called China Yellow Pages. Due to a lack of development talent in China before, Founder Jack Ma outsourced the website development in the US. This also solved Ma’s issue of finding a practical way to overcome all Chinese internet restrictions. Alibaba still continues to outsource its production mostly still within China.

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A completely integrated innovation studio within the corporate framework, with a primary emphasis on making the future of the food industry accessible to all. Their core objective is to discover, create, and expand tailored automation remedies, utilizing a team of proficient individuals covering domains like engineering, robotics, and artificial intelligence. Our central mission revolves around constructing automation technology solutions that empower individuals to achieve greater feats.

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A completely integrated innovation studio within the corporate framework, with a primary emphasis on making the future of the food industry accessible to all. Their core objective is to discover, create, and expand tailored automation remedies, utilizing a team of proficient individuals covering domains like engineering, robotics, and artificial intelligence. Our central mission revolves around constructing automation technology solutions that empower individuals to achieve greater feats.

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A completely integrated innovation studio within the corporate framework, with a primary emphasis on making the future of the food industry accessible to all. Their core objective is to discover, create, and expand tailored automation remedies, utilizing a team of proficient individuals covering domains like engineering, robotics, and artificial intelligence. Our central mission revolves around constructing automation technology solutions that empower individuals to achieve greater feats.

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In the role of an Industrial Design Engineer with a focus on cobotics, you will assume a crucial position in envisioning, crafting, and honing both the tangible and operational facets of our collaborative robotic solutions. Your collaboration will extend to cross-functional groups, including mechanical engineers, software developers, and UX designers, in the pursuit of devising cobotic systems centered around users. These systems will redefine effectiveness and safety within industrial settings.

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Client Overview

A completely integrated innovation studio within the corporate framework, with a primary emphasis on making the future of the food industry accessible to all. Their core objective is to discover, create, and expand tailored automation remedies, utilizing a team of proficient individuals covering domains like engineering, robotics, and artificial intelligence. Our central mission revolves around constructing automation technology solutions that empower individuals to achieve greater feats.

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Front-End Developer

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Full-Stack PHP Developer Tech Lead

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Full stack RoR/VueJS Developer

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Fullstack Developer

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Fullstack .NET Developer

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Lead/Senior Frontend Developer (UI/UX) - Brazil

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Marketing Specialists

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Backend Developer (Python)

Cloud Employee, is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineer teams and grow their CV and skill-set.

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Senior/Team Lead Full-Stack PHP Developer

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Senior Full-Stack PHP Developer

Cloud Employee is a UK-owned Philippines business established 8 years ago. We connect high-performing software engineer talent in the Philippines with some of the world’s leading and most innovative tech companies. Developers join to work from the Philippines as part of international engineering teams and grow their CV and skill-set.

We pride ourselves on being a supportive and cutting-edge workplace that continuously invests in staff development, engagement, and well-being. We provide security, and career paths, along with individual training programs and mentoring.

POST DATE
January 2, 2024
WORK LOCATION
Remotely
JOB TYPE
Full Time
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Billion-dollar Startups Built With Outsourced Development

March 26, 2024

Outsourcing has become a common practical solution for companies globally. In fact, according to a 2011 report by Outsourcing Alert 94% of the Fortune 500 companies outsource at least one major business process.

For early startups, outsourcing is often a choice, especially when dealt with budget constraints and manpower limitations. Delegating time-consuming tasks, building core development, and cutting costs up to 65% are common reasons why startup owners choose to outsource.

The following startups built with outsourced development are one of the many who have maximized the benefits of outsourcing and have grown as one of the most successful startups.

Google

What started as a web-based search engine now became a multinational company in Internet-related services. Google’s success is thanks to their practical use of outsourcing for cost-effectiveness. Google has been outsourcing their staff for years whether it may be IT specialists, developers, or virtual assistants. Google has also been recently reported to outsource YouTube’s ad sales to Russia.

IBM

The Big Blue has long been outsourcing its workforce to lower-cost countries like the Philippines, Mexico, China, and India. In fact, IBM consists of 60% offshore staff. Not only is this a way for IBM to cut budget, but also a way to maneuver around the US outsourcing policies.

Skype

Before being sold to Microsoft for $8.5 billion in 2011, Niklas Zennstrom and Dane Janus Friis established Skype. The founders had the idea but lacked the professionals to execute the application. With the help of three back-end developers from Estonia, who later became their partners, Skype has become the well-known video chat and voice calling service for web and mobile app.

Slack

An Instant Messaging-based team collaboration tool, Slack is now a common workplace application and is also often used when working with remote peers. Before releasing the app for a beta test, the four founders outsourced a design firm to polish Slack’s logo, website, and mobile app in just six weeks. As of September 2017, Slack is now worth $5.1 billion.

Whatsapp

In 2009, former Yahoo! employees Brian Acton and Jan Koum launched Whatsapp, a cross-platform messaging, calling, and file sharing. With only a starting capital of around $250,000 and limited staff of 30 full-time employees, Acton and Koum hired offshore developers from Russia for the core development of the app. In just three years after launch, the app gained over 50 million downloads and was later bought by Facebook in 2014 for $19 billion.

Alibaba

Previously featured in one of our blogs, the Chinese e-commerce giant actually started out as a small internet company called China Yellow Pages. Due to a lack of development talent in China before, Founder Jack Ma outsourced the website development in the US. This also solved Ma’s issue of finding a practical way to overcome all Chinese internet restrictions. Alibaba still continues to outsource its production mostly still within China.

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