What does Nearshore, Offshore and Onshore mean? We explain it all here

If your work is related to the software development industry, there is a good chance that you have heard of the terms offshore, onshore, and nearshore.

Basically, the term ‘shore’ relates to outsourcing software developers from abroad. Many of the owners of small, large and new companies have decided to outsource their developers from abroad, on the basis that there are industries with the qualified and affordable talent available. This is an excellent strategy to reduce costs, explore new markets and attract new employees. Many companies have considered it recently, as a result of the crisis we are now experiencing due to COVID-19.

Onshore software development

In the short term, the onshore software outsourcing approach means hiring a company in your own country.

The advantages of this option are evident; you get a skilled team that works in the same time zone and shares the same language and culture. Most companies find frequent in-person office meetings with the outsource team to be a major plus compared to the offshore model, which involves very time-consuming onsite visits.

There is one primary concern with this option, however, and that is cost. While offshore and nearshore development costs less…