Is Malaysia A Good Location For Software Outsourcing?

More and more companies are outsourcing software development. Find out why Malaysia is a good location for software outsourcing.
Is Malaysia A Good Location For Software Outsourcing

Outsourcing software development has become popular among startups and enterprises that want to cut costs and focus more on the business than the software. Is Malaysia a good location for software outsourcing? To manage software businesses needed to have a CTO and a team of developers to develop and maintain the software. In countries such as Australia, Japan, Singapore, and the United States it has become common practice for companies to outsource their software development to external companies.

Is Malaysia A Good Location For Software Outsourcing?

If companies worked with a company in their own country, this was called onshore software outsourcing. For example, if a Singaporean bank such as DBS, or OCBC, worked with a software development company in Singapore to manage and maintain their software systems, this would be onshore software outsourcing. This is great as a team of experienced engineers and product managers will now be building the software. This saves time, helps keep companies lean and focused on their primary goals, and leads to improvements in the overall quality of the software.

Is Malaysia A Good Location For Software Outsourcing

But as time has gone by, thanks to the internet, video calling, and flights, the world has become a lot smaller. So companies have become comfortable with outsourcing their software development to countries outside of their own. To some, this might sound risky and complicated, but to others, they see cost savings as they move to countries where the cost of developing software is much lower than their own. South America, Eastern Europe, India, Vietnam, China, Malaysia, and Vietnam, are a few popular locations for software outsourcing and they each have their own pros and cons. In this article, we will discuss if outsourcing software development to Malaysia is a good choice, or what alternatives are available.

Reasons To Outsource Software Development To Malaysia

India and China used to be the best places to outsource to in the Asia Pacific region, but due to rising costs, lots of scams, and unpredictable political ruling in China, companies have been looking for new options, and Malaysia is one of the most attractive locations. This is why:

1. Low Cost

Malaysia has a highly skilled and educated workforce, which can provide cost-effective software development services compared to some other countries. Currently, the most common software development being outsourced to Malaysia is web development, mobile app development, and enterprise software development.  Mobile and web apps are the easiest way for both startups and enterprises to digitize their businesses and the cost to develop an app in Malaysia is lower than in countries such as Australia, Singapore, Hong Kong, and Japan, making it a very strategic location for outsourcing.

2. Good Location

Malaysia is located in the Asia-Pacific region, which is home to many major markets such as China, India, Singapore, and Australia. This makes it easier for companies to communicate and collaborate with their outsourced software development team. Being in the same time zone makes it easy for teams to collaborate even across borders. People are also more comfortable nearshoring as they subconsciously trust companies that are nearer to their home, culture, and language.

Is Malaysia A Good Location For Software Outsourcing

3. No Language Barrier

Malaysia is a culturally diverse country, with a mix of Western and Eastern influences. This can make it easier for companies from different parts of the world to work with software development teams in Malaysia. English is the main language spoken in Malaysia, which happens to be the global business language so companies are easily able to communicate with offshore teams in Malaysia without any misunderstandings. Malaysia also has a large Chinese population so companies that are primarily Chinese from places such as China, Hong Kong, Taiwan, and Singapore, might find it easy to hire Chinese-speaking offshore teams in Malaysia.

4. Great Infrastructure

Malaysia has a well-developed infrastructure, including a modern transportation system, reliable telecommunications, and a stable power supply. This makes it easier for companies to set up and maintain offshore software development operations. This is especially true in big cities such as Kuala Lumpur. The city is modern and advanced and you can access all the same facilities that are available in more developed countries. The country’s economy is also growing fast and further developing its infrastructure.

5. Supportive Government

The Malaysian government has been supportive of the country's software outsourcing industry, providing various incentives and support programs to encourage the growth of the sector. The government knows the benefits IT can have on the growth of the country and is heavily investing in the industry.

03 Is Malaysia A Good Location For Software Outsourcing

Overall, Malaysia's combination of cost-effective labor, proximity to major markets, cultural compatibility, strong infrastructure, and government support make it an attractive location for software outsourcing.

Alternative Locations In Malaysia For Software Outsourcing

While Malaysia is a very attractive option, it seems not to be the most popular. Other options in the region include Thailand, Vietnam, Cambodia, and Myanmar.

Vietnam has become an IT powerhouse. The country has one of the fastest-growing economies in Asia and is on its way to becoming an Asian Tiger. Vietnam has invested heavily in STEM and IT education, which produces thousands of talented software engineers every year. The country also has a low cost of living, which leads to cost savings when it comes to developing software. Large talent pools and cost savings are just some of the reasons why companies outsource their software development to Vietnam.

Thailand has many software outsourcing companies in the northern city, Chiang Mai, where life is more peaceful and the living cost is lower than in the big city. In Bangkok, you can find company offices from well-known companies such as Agoda. Well, Thailand might not be an English-speaking country, but in Bangkok, many educated Thais do speak English well, which does make the city an interesting option for startups and enterprises looking to outsource their software development.

Is Bangkok A Good Location For Software Outsourcing

While Cambodia and Myanmar are less developed than Thailand and Vietnam, they do offer great opportunities when it comes to cost savings. But due to political issues in Myanmar, it’s not going to be the most stable place to invest right now. Both of these countries are not as international and also do not have a strong English-speaking community, which also creates an additional barrier.

From all the above-mentioned countries, it’s easy to see why some companies would prefer Malaysia, while others prefer Vietnam or Thailand. Right now Cambodia and Myanmar are not the most feasible but who knows what will happen in the years to come.

Images credit: Shutterstock

COMMENTS

Name

4th of July,1,About Me,11,Academic Calendar,3,Accident,1,Acer,1,Action Camera,2,Adgitize,1,Adidas,18,Adsense,5,Advice,4,AdWords,1,AE86,1,Aeon,1,Afternoon Tea,1,AI,6,AI Writing,2,AIO PC,1,Air Fryer,3,Air Jordan,16,Air Purifier,6,AirAsia,4,Alarm Clock,1,All England Badminton,2,Amazfit,4,Amazon,1,Ames Hotel,1,Android,3,Angry Birds,1,Animal,18,Animation,1,Anime,1,Announcement,27,Antivirus,3,App Development,1,App Review,8,Apple,25,Architecture,3,Artificial Intelligence,10,Arts,7,Asics,2,Assisted Suicide,1,Astro,3,Asus,11,Atmos,1,Attention Please,39,Attorney,1,Audi,1,Augmented Reality,4,Automobile,75,Avatar,4,Aviation,4,Awards,4,Back To The Future,2,Backpack,7,Badminton,1,Bag,4,Baidu,1,Baking,6,Balenciaga,3,Bananas,1,BanBao,1,Bangkok,1,Barbies,2,Baseball,1,Basketball,22,Batam,1,Bayview Hotel Melaka,4,Beautiful Facial Skin,1,Beautiful Stories,4,BEHATI,1,Beko,1,Benefits of Eating,1,Bentley,1,Bicycle,2,Big Bad Wolf,1,Binance,1,Bird Watching,1,Birth Control,1,Birthday,46,Bitcoin,6,Bitly,1,Bizarre,23,Black Friday,2,Black Panther,1,Black Pearl 2,1,Black Shark,1,BlackBerry,1,Blackview,2,Blog Traffic,1,Blog Tutorial,1,Blogging,72,Blogging Tips,1,Blood Donation,3,Board Games,3,Book,8,Branding,2,Broadband,24,Buffet,12,Buffet Breakfast,1,Buffet Lunch,3,Bukit Beruang Melaka,1,Bukit Beruang Melaka Hiking Trail,1,Bullying,2,Burger King,1,Business,42,Cadbury,1,Cadillac,1,Cakes,1,Camera,17,CamperLab,1,Cannabis,1,Canoe,1,Canon,3,Car Safety,1,Car Tint,1,Card,1,Career,2,Career Advice,2,Carpet Grass,3,Cartier,1,Cases,2,Casetify,2,Casino,20,Casio,4,Cat,4,Cat Repeller,1,CBD,4,CCTV Cameras,1,Celcom,7,Celebrity,89,Certification,3,Changan Automobile,1,Charity,3,ChatGPT,7,Chess,1,Chinese Horoscope,1,Chinese Horoscope 2023,12,Chinese New Year,83,Chinese Zodiac,9,Chocolate,2,Christmas,28,Christmas Buffet,2,Christmas Carol,1,Christmas Decoration,1,Christmas Greeting,1,Christy Yow,4,Chromebook,1,ChurpChurp,5,Citizen,1,Clearbot,1,Clogs,1,Clot,1,Clothing,3,Cloud Computing,1,Cloud Mining,1,Cloud Storage,2,cny,2,Co-working Space,1,Coca-Cola,2,Coffee,23,Coffee Machine,1,Collectible,1,COMME des GARÇONS HOMME PLUS,1,Community Service,1,Company Management,1,Complaint,4,Computer,8,Contest,10,Converse,6,Cookies,5,Cooking,18,Cosmo,1,Cosplay,1,Cougar,1,Coverage Check,1,Covid19,55,Credit Card,4,Crimewatch,1,Cristiano Ronaldo,8,Crocs,3,Cruise Ship,1,Cryptocurrency,10,Cyber Security,4,Cycling,1,Daboba,2,Dating Tips,6,De'Longhi,1,Debit Card,1,Deepavali,1,Dengue Fever,2,Dental Care,1,Desk Lamp,1,Desserts,3,Diecast Car,1,DiGi,12,Dim Sum,1,Dinosaur,6,Dior,2,Disney,2,Disneyland,2,Disneyland Melaka,1,Display,1,Divorce,1,DIY,1,DJI,6,Dog,2,Domino's Pizza,1,Don Don Donki,1,DOOGEE,1,Doraemon,1,Double Dose,28,DoubleTree Melaka,4,Doughnut,1,Dragon Ball,1,Dream,1,Drone,6,Dubai,1,Durian,5,Dyson,26,Dyson Global Dust Study,1,Dyson Global Hair Study,1,Dyson Zone,1,DYU,1,E-books,3,E-Wallet,1,Earbuds,12,Earth,1,Earth Hour,1,Ed Sheeran,1,Education,19,Election,2,Electric ATV,1,Electric Bike,6,Electric Scooter,6,Electric Unicycle,1,Electric Vehicle,15,Elon Musk,7,Email Marketing,2,Energizer,2,Entertainment,4,Entopia,3,Entrecard,6,Entrepreneur,2,EPF,1,Epic Games,1,Ergonomic Chair,2,ERNIE Bot,1,Esenes Worldwide,1,Essay,1,Events,10,Everest,1,Exams,7,Exercise,1,Exercise Equipment,2,Eyewear,5,F1,2,Face Mask,2,Facebook,13,Famous Personalities Birthday,5,Fashion,61,Father's Day,2,Featured,2,Feiyu,1,Feng,1,Feng Shui,31,Ferrari,4,Festival,25,Fifish,1,Financial Planning,4,Finding Twitter Followers,2,Fitbit,3,Fitbit Ace,1,Fitness,23,Fitness Tracker,13,Flip-flop,1,Flood in Malaysia,1,Florist,1,Flowers,1,Focus Point,1,Foldable Smartphone,6,Food,23,Food Delivery,1,Food In Aeon Bandaraya Melaka,1,Food In Melaka,30,Food Review,112,Foodpanda,6,Football,27,Footwear,111,Ford,2,Forex,16,Fortnite,2,Fossil,2,France,2,French,1,Friday The 13th,1,Fruit,2,Fuel,2,Fujifilm,1,Fun,80,Funny,21,Furniture,2,Futura,1,G Suite,2,G-Shock,3,Gadget,402,Gambling,16,Games,22,Gaming,37,Gardening,7,Garmin,1,Gaston Luga,2,GE15,2,Generative AI,5,Genting Highlands,2,Geronimo Stilton,2,Getha,1,Ghost,11,Gifts,14,Gimbal,3,Giuseppe Zanotti,1,Glasses,2,Go Noodle House,2,Gogoprint,2,Gold Trading,3,Golf,1,Google,11,Google Bard,2,Google Gemini,1,GoPro,2,GPT-3,4,GPT-4,4,Grab,2,GravGear,2,GSC,4,GTA,1,Gucci,3,Guitar,1,Hair Care,4,Halal Products,1,Halloween,7,Happy Dragon Boat Festival,1,Hard Drive,4,Hari Raya,8,Harley Davidson,1,Harmony OS,1,Hasbro,7,Hatten Place,3,Havaianas,1,Headphones,2,Headset,1,Health,88,Heart,18,Hermès,1,Heroes,7,Hewlett Packard,1,Hi Tea,4,Hiking,2,Hiking Trail,1,Hisense,1,History,10,Holiday Inn Melaka,11,Homage,2,Home,14,Home Automation,1,Home Care,2,Home Caregiver,2,Home Renovation Ideas,12,Home Security,4,Honda,2,Honor,9,Horoscope Zodiac 2022,3,Hot Wheels,1,Hotel,16,Hotel Review,15,House Moving,4,Housekeeping,6,How To Study,2,Huami,2,Huawei,22,HyperGear,6,Ice Cream,1,Ice Cream Buffet,1,iGaming,1,IKEA,1,Indonesia,2,Indoor Farming,2,Infernal Affair,42,Influenza A,1,Infographic,3,Inlab,1,InMotion,1,Innofood,2,Insta360,1,Instagram,1,Instant Camera,2,Instax,1,Insurance,3,Intel,1,Interior Design,1,International Chocolate Day,1,Internet,53,Internet Marketing,8,Internet Security,5,Interview,1,Investment,8,IOI City Mall,1,iPad,5,iPhone,16,iPhone Cases,1,iPod,2,Iron Man,2,Islam,1,Jacquemus,1,Japanese Food,9,Jay Chou,4,Jobs,4,Joke,2,Jonker Walk Melaka,1,Juke-Blog,27,Jusco,2,JUUN.J,1,Kampung Machap Baru,1,Kanghyuk,1,KFC,5,kidzooona,3,Kieslect,1,Kindle,1,Kitchen,8,Kitchen Gadget,14,Knowledge,41,Kobe Bryant,3,Kuala Lumpur,1,Lalamove,1,Lamborghini,2,Laptop,13,Lazada,5,Leaks,1,LeBron James,3,Lee Chong Wei,3,Lee Zii Jia,1,Legal Matters,1,Legion,1,Lego,14,Lenovo,5,LG,4,LGBT,1,LGBTQIA+,1,Li-Ning,1,Life-Style,45,LifeStraw,1,Lightyear,1,Link Shortener,1,Lions Club,1,Literature,1,Logitech,5,Louis Vuitton,3,Lunchbox,1,M&M's,1,MacBook,3,MacDonald,2,Mad Hatter Day,1,mahjong,2,Mahkota Parade,2,Make Money Blogging,4,Make Money Online,46,Make Money Tweeting,2,Malacca,16,Malaysia,62,Malaysia Airlines,1,Malaysia Day,2,Manchester United,15,Mariah Carey,4,Market,1,Marketing,5,Marvel,4,Marvel Go Collection,1,Massage,1,Mattel,3,Mattress,2,Maxis,4,McDonald's,4,MCO,36,Melaka,38,Mercedes Benz,2,Merdeka,1,Meta,3,Meta Trader,1,Metaverse,1,Mi Band,1,Microsoft,6,Mid-Autumn Festival,9,Midea,1,Midvalley,4,Mijia,1,Milky Our Pet Dog,1,Minions,1,Moncler,1,Monday Blues,17,Money Talk,35,Montblanc,1,Mooncakes,3,Most Powerful Passport,1,Mother's Day,11,Motivational,12,Motorola,6,Mountain Climbing,1,Movie Review,27,Movies,6,MSCHF,1,music,2,Music Monday,106,Music Player,1,Musical Instrument,1,Muslim,1,My Babies,235,My Chronicles,278,My Family,148,My Video,5,My Wife,31,Myvi,1,Naruto,6,NASA,2,National Avocado Day,1,Nature,20,NBA,15,Nebraska,1,Nerf,3,Nescafe,1,Nestle,3,Netflix,12,Netflix Stream Team,9,New Balance,2,New Mobile Phone,2,New Year,5,New Year's Resolutions,9,News,24,NFL,1,Niantic,1,Nike,43,Nintendo,4,Nokia,4,Nokia E72,9,NOYSI,1,NSK,1,Nubia,1,Nuclear Weapon,1,Nuffnang,17,NVIDIA,1,Obituary,1,Off-White,1,Olympic,2,One Office,1,One Piece,1,OnePlus,3,Online Games,1,Online Shopping,2,Open AI,5,Oppo,9,Oral Health,1,Orca,1,Oreo,5,Origin,1,Oura,1,Outdoor,3,PageRank,2,Panasonic,1,Parenting,31,Paris,1,Pay Fong Middle School,2,PC Fair,1,Penang,15,Penang Food,7,Performance,1,Perfume,1,Perodua,7,Pet,7,Pet Care,1,Petronas,5,Pfizer Vaccine,4,PG Mall,2,Philips,1,Photography,24,Pikachu,4,Pillow,3,Pixar,1,Pizza,2,Pizza Hut,1,Playmobil,1,PlayStation,2,Poco,2,Poem,3,Pokemon,8,Pokemon Go,1,Politics,3,Porsche,1,Portable Display,1,Portuguese Settlement,4,Power Bank,2,Pregnancy,1,Premium Review,9,Pride Month,4,PRISM+,5,Problogging,15,Processor,1,Product Review,108,Productivity,5,Professional Development,1,Programming,2,Projector,3,Promotion,14,Property,1,Proton,16,Proton Inspira,8,Proton X90,1,PS5,3,Pulau Giam,1,Pulau Pangkor,1,Puma,1,Purple Cane,1,Qing Ming,5,Qualcomm,1,Quotes,2,Racing,1,Ramadan,9,Ramadan Buffet,9,Ranting,2,Razer,8,Real Estate,2,Realme,6,Recipe,1,Redmagic,2,Redmi,5,Reebok,6,Reloaded,1,Remote Working,3,Reputation Management,1,Resume Writing,1,Retirement Planning,2,Revelot,1,Reward,2,Rice Cooker,1,Ring,1,Roborock,13,Robosen,2,Robot Vacuum,13,Robotics,4,ROG,1,Rolls-Royce,2,Royal Selangor,1,Rugged Smartphone,3,Russell Taylors,5,Russia,1,SaaS,1,Samsung,55,Samsung Galaxy S6,3,Samsung Global Goals,1,Save Soil Movement,1,Science,2,Scorcher Grill,1,Scoville Scale,1,Seagate,1,Segway,1,Seiko,1,Selamat Hari Raya Haji,1,Selangor,3,Self-Improvement,35,Senz,1,Sex Chat,28,SHEIN,1,Sheraton PJ,7,Shocking,71,Shopee,1,Shopping,27,Shutterstock,2,Side Hustle,1,Sinovac Vaccine,2,Skincare,1,Sleep,9,Smart Glasses,3,Smart Home,1,Smart Ring,1,Smart TV,2,Smartphone,110,Smartphone Cases,1,Smartwatch,23,SMS,1,Snapchat,2,Sniclo Turbo,1,Social Media,9,Social Media Influencer,2,Software,10,Solar Panels,1,Solo Stove,2,Sony,8,Sony Ericsson,1,Soul,108,Soundbar,2,South Korea,1,South Park,2,Speaker,6,Spectacles,1,Spiderman,3,Spongebob Squarepants,1,Sport,24,Sports Betting,3,Spritzer,1,Spritzer Ecopark,1,Staple,1,Star Wars,11,Starbucks,2,Starlink,1,Stealcase,1,Steamboat,4,Stock Photos,2,Straits of Melaka,1,Stranger Things,3,Stream Controller,1,Streamyx,3,Subway,2,Sudio,2,Suicide,1,Sunglasses,2,Super Mario,5,Supernatural,10,Supplement,3,Supreme,1,Surface,4,Survival Tool,1,Suunto,1,Swimming,3,Swiss-Garden Hotel Melaka,1,Tablet,19,Taiping,25,Taiwan Excellence,3,Taman Botanikal Melaka,1,Tang Yuang,1,Tanjung Point Residences,2,Targus,3,Taste Buds,128,Tax,1,Teach English,1,Team-building,2,Tech News,13,Tech-Life,59,TECNO,1,Tekkaus Poll,7,Telco,17,Tesalate,2,Tesla,8,Thai Food,1,Thailand,1,The Habitat,2,The Hobbit,1,Threads,1,Tiffany & Co,1,TikTok,2,Timberland,1,Time,2,Tips,7,TM,3,TOGL,4,Tourism,3,Toy,62,Toyota,1,Trading,23,Transformers,9,Travel,68,Travis Scott,1,Trophy Room,1,TS Alpha,1,Twitter,16,Twitter Tools,1,U Mobile,3,Ulefone,1,Under Armour,3,Underwater Drone,1,Undi 18,2,Unifi,9,United Nations,1,United States of America,2,Uno,1,Upin & Ipin,1,USB Flash Drive,1,Vacation,48,Vaccination,5,Vacuum,5,Vacuum Cleaner,7,Valentine's Day,10,Vans,1,Ventureboard,1,Vesak Day,1,Video Conferencing,1,Vivo,5,Volkswagen,4,Volvo,1,Waktu Solat,1,Walkman,1,Warren Buffett,3,Watch,8,Wearable,32,Web Development,2,Webcam,1,Website,4,Website Design,3,Wedding Anniversary,1,Wesak Day,4,Western Digital,2,What Day Is Today,4,WhatsApp,1,Widget,4,Wiim,1,Wildlife,1,Wilson,2,Wines,1,Winter Solstice Festival,5,Wireless Mouse,2,Women,12,Wonda,1,Wordlesser Wednesday,28,Work From Home,3,Working Life,34,Workplace Culture,5,Workshop,1,World AIDS Day,2,World Cup,14,World News,5,Writing Tools,1,Xbox,2,Xiaomi,31,Yee Sang,4,Yeezy,1,Yes,1,Yippi,4,Yippi Biz,4,Youtube,9,YTL YES 4G,5,Zara,1,ZipCharge Go,1,Zodiac Forecast 2024,8,
ltr
item
Tekkaus® | Malaysia Lifestyle Blogger | Influencer: Is Malaysia A Good Location For Software Outsourcing?
Is Malaysia A Good Location For Software Outsourcing?
More and more companies are outsourcing software development. Find out why Malaysia is a good location for software outsourcing.
https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUtY5ERcm8nJ3g_ELrDqDz_ZphYlhPBn5NGpVY9TgvT8Lp9fCRA1dG2PhUvsyW0EZSdQEO8gVBMG8E_ZBA0fCOp0aoY-ZnxYFDvAkhzFmJHfoO3XueNC3bXRdWdMwh5flEk7maUeoY23_WAD0qSX9bR9LptMGOU_iDEcEthy8_SaKG91V9jI1gRUsR/s16000/01%20Is%20Malaysia%20A%20Good%20Location%20For%20Software%20Outsourcing.jpg
https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUtY5ERcm8nJ3g_ELrDqDz_ZphYlhPBn5NGpVY9TgvT8Lp9fCRA1dG2PhUvsyW0EZSdQEO8gVBMG8E_ZBA0fCOp0aoY-ZnxYFDvAkhzFmJHfoO3XueNC3bXRdWdMwh5flEk7maUeoY23_WAD0qSX9bR9LptMGOU_iDEcEthy8_SaKG91V9jI1gRUsR/s72-c/01%20Is%20Malaysia%20A%20Good%20Location%20For%20Software%20Outsourcing.jpg
Tekkaus® | Malaysia Lifestyle Blogger | Influencer
https://www.tekkaus.com/2022/12/is-malaysia-good-location-for-software-outsourcing.html
https://www.tekkaus.com/
https://www.tekkaus.com/
https://www.tekkaus.com/2022/12/is-malaysia-good-location-for-software-outsourcing.html
true
4207407882210812347
UTF-8
Loaded All Posts Not found any posts VIEW ALL Readmore Reply Cancel reply Delete By Home PAGES POSTS View All RECOMMENDED FOR YOU LABEL ARCHIVE SEARCH ALL POSTS Not found any post match with your request Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS PREMIUM CONTENT IS LOCKED STEP 1: Share to a social network STEP 2: Click the link on your social network Copy All Code Select All Code All codes were copied to your clipboard Can not copy the codes / texts, please press [CTRL]+[C] (or CMD+C with Mac) to copy Table of Content