Business news from Ukraine

IT market in Ukraine decreased by 1.7%

4 October , 2023  

In the summer of 2023, the IT market in Ukraine decreased by 1.7% compared to the summer of last year due to global trends and the war, said Taras Kitsmei, co-founder and member of the board of directors of SoftServe, at the conference “The Future of Ukrainian Exports” organized by Ekonomichna Pravda in Kyiv.

“The first is global trends. In principle, the entire IT industry in the world today is slightly “stagnating” based on investors and many other reasons. And the second trend is the difficulty of bringing new orders to Ukraine, because customers have a certain sense of war,” explained Kitsmey.

The SoftServe CEO also noted that since the beginning of the war, some customers have withdrawn from the Ukrainian market due to internal policies that prohibit placing orders in countries where there is a war. However, the Ukrainian service and quality of services have made some of them reconsider their policies, he added.

According to Kitsmey, SoftServe, in particular, manages to keep the level of customer satisfaction above 80%.

“We saw a trend that a number of customers left us at the beginning of the war, and then, comparing the quality and beauty of our services with what they received, they decided to change their policies and easily came back,” he said.

The SoftServe co-founder added that there are fewer problems with orders from foreign startups, whose internal rules are not so strict.

“If we don’t break this stability now, people will get used to war. Israel also has a constant war, and no one talks about it, let alone places orders. Our Western partners will get used to the war, the main thing is that the situation does not deteriorate,” Kitsmei emphasized.

SoftServe is one of the largest IT service companies in Ukraine. According to the company’s website, it has about 13 thousand employees and 47 offices in 14 countries. The company’s headquarters are located in Lviv and Austin (Texas, USA). The company’s development centers are located in Lviv, Kyiv, Dnipro, Kharkiv, Rivne, Ivano-Frankivsk, Chernivtsi, Uzhhorod, Ternopil, Odesa, Vinnytsia, and Khmelnytskyi, as well as in Poland, Bulgaria, Romania, and Latin America.