Thinking of outsourcing the development of IT systems software to a Brazilian company? Then you’ve come to the right article. Succinctly and assertively, the three main reasons why you should invest in Brazil for this task are highlighted.
Is IT systems software development for you?
Ask yourself: do you have the time to develop a custom software solution? Do you have the money to hire a team of on-site developers? Or are your IT systems really in need of an overhaul? In that case, outsourcing or developing your system software might be an option for you.
Photo by Cassiano Psomas on Unsplash.
Brazil is considered the Silicon Valley of Latin America
In recent years, the Brazilian IT industry has been booming. There are reasons for this gradual but steady growth ranging from the country’s vast and young talent pool to the high literacy rate, to funding programs like Brazil Innovates (which provides governmental funding for R&D projects). All in all, the country is positioned very well to become an international IT hub.
Besides, Brazilian developers have a reputation for being able to complete any kind of project on time and within budget. That’s why so many companies from around the world outsource work to them. Better yet, they’re generally very proficient at their jobs: many of them go through rigorous training programs before they’re allowed to work independently.
Okay, but what are the reasons?
To demonstrate the benefits of outsourcing the development of IT systems software for your business to a Brazilian company, we have separated the following reasons:
1. The Latin country has nearshore and technological improvement
Brazil is a country that has always been and will always be nearshore. The economic growth in recent years and the governmental support programs have generated an enormous demand for development work by Brazilian companies.
As the IT industry in Brazil grows and becomes more competitive, the need for developers to adapt to the requirements of the new technology will only increase. That’s why outsourcing companies can quickly learn your needs and how to implement their solutions according to them, which is crucial for their success in your company.
2. There is government investment in outsourcing
It all started in 2009 when the Brazilian government decided to open up its market and enforce low-cost labor laws that helped smaller companies compete with larger ones around the world. Since then, it has grown exponentially leading to its continuing success as a global hub for excellence in business outsourcing with a plethora of advantages over other countries such as India and Russia.
3. Professionals are specialized and speak fluent English
Besides being an excellent destination for IT Outsourcing due to its technological improvement and government support, Brazil has the characteristic of having a professional workforce fluent in English and trained in North American technologies and international standards. Brazilians also are largely connected with technological changes and have extraordinary creative skills that, combined with their talent and knowledge, make them excellent experts for outsourced work.
Photo by Mimi Thian on Unsplash.
Furthermore…
The Brazilian IT industry is one of the most competitive in the world. An independent study conducted by IDC showed, that economic growth and investments made by the Brazilian government have had an enormous impact on local and international IT companies alike. The study also found that there are over 2,000 outsourced service providers in the country that employ over 600,000+ professionals – making it a growth engine for Brazil itself as well as for foreign companies who want to outsource to the country.
By way of explanation, one important factor contributing to this remarkable growth is the education system in Brazil that prepares people for entry-level jobs.
Nearshore software development in Brazil: how to make it work
The three reasons above explain why US companies outsource software development to Brazil. Whether it works for your team depends less on the country than on how the engagement is set up: who you hire, under which model, and how the Brazilian developers plug into your process. This section covers what to check before you commit to nearshore software development in Brazil.
Time zone and talent pool
Brasília time is UTC−3, and Brazil abolished daylight saving time in 2019 (Time in Brazil). Because only the US clocks change, São Paulo is two hours ahead of New York in the US winter and one hour ahead in the summer, and four to five hours ahead of California. A Brazilian developer on a normal business day shares the whole East Coast workday and most of the West Coast morning, which is what makes daily stand-ups, pairing and production support practical without anyone working at night.
The talent pool is large and still growing. GitHub's Octoverse 2025 report counts 6.89 million developers in Brazil, ranks the country third for open source contributors, behind India and the United States, and projects 19.6 million Brazilian developers by 2030. Experienced engineers are also in demand inside Brazil, so a good partner or hiring process has to move quickly.
Three ways to hire Brazilian developers
Individual Brazilian developers join your team, tools and rituals. You set the priorities; the partner handles recruiting and employment. Fits when you have a tech lead and need more hands. See staff augmentation.
A full nearshore team, with engineers, designers, QA and a technical lead, owns a product area month after month. Fits when the roadmap is long and you want the knowledge to stay in one place. See dedicated squads.
The partner delivers a defined scope, such as an MVP or a rebuild, and then hands over or moves to ongoing support. Fits when the outcome is clear and the timeline is fixed. See project delivery.
How to evaluate a nearshore partner in Brazil
What this looks like in practice
For socialprotection.org, a global knowledge-sharing platform, a BIX Tech team of 10 people has handled design, development and ongoing evolution since February 2025, including AI-powered search and recommendations over expert-curated content (socialprotection.org case). For Valid8, an HR tech company, BIX built a secure platform on AWS with 10 independent microservices, in a collaboration across Brazil, the United States and Australia (intelligent candidate verification case). Both show the pattern that makes nearshore work: a stable team that knows the product and works in the client's hours.
If you are planning to hire Brazilian developers, BIX Tech, a US data and AI consultancy headquartered in Miami, Florida, works with US companies as a nearshore partner. Our engineers in Brazil can join your team through staff augmentation or form a dedicated squad that builds and evolves your product with you month after month, with software support once it is live.
FAQ: outsourcing software development to Brazil
What time zone do Brazilian developers work in?
Most Brazilian tech hubs, including São Paulo and Rio de Janeiro, use Brasília time, UTC−3, with no daylight saving time since 2019. That puts them one or two hours ahead of US Eastern time and four or five hours ahead of US Pacific time, depending on the season.
Is nearshore software development in Brazil cheaper than hiring in the US?
Usually the rate is lower, but the real comparison is total cost: recruiting, ramp-up, management, turnover and tools. A partner's fee usually covers screening, management and technical leadership, which a direct contractor rate does not.
How do I hire Brazilian developers without a local entity?
The common routes are contracting individuals directly, using an employer of record, or working with a nearshore partner that employs the developers and manages the team. A partner adds peers and a technical lead behind each developer, which helps keep the team stable.
Is Brazil a good fit for long-term software teams?
Yes, when the engagement is built for continuity. The time zone overlap supports daily collaboration, and a dedicated squad keeps product knowledge in the same people as the roadmap changes.
Do you want to know all the reasons why your company should invest in IT Outsourcing in Brazil? Get in touch with a BIX Tech expert.
