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Key Benefits To Outsource AI Development Tasks

Outsourcing AI development tasks to a company or an individual is, though, a good way to go, there are some key factors that you must consider before doing so.

And in this article, you will not only learn about the key difference between outsource AI development tasks or getting all these core tasks done in-house.

For most of the companies today, artificial intelligence or AI is an important constituent. 

If their business is based on AI, they do have to depend on it to foster their business prospects. 

However, making an informed decision whether to outsource AI development or have it done by an already existing in-house team of the AI experts isn’t as easy as it seems. At times, this decision-making process keeps a company in a quandary. 

Whatever way the company chooses to go, it does come with its pros and cons. 

So, a good way is to first understand the key difference between outsource AI development and in-house AI development then make an appropriate decision.

Outsource AI development vs. In-house AI development

In-house AI department

As a company, if you choose to go with an in-house instead of outsource AI development, it will require skilled AI staff and proper infrastructure, which comes at a heavy cost and puts a strain on your company budget. This way, your company may get benefited in the long run but the current investment in AI will not earn it any profit. 

Notwithstanding, an in-house AI department has certain merits. It can help your company customize its own AI solutions, discard needless features and do away with complex methods inherent in the system. Such customization will cut the cost of the company’s budget by getting only a product that it requires.   

Intellectual Property Ownership

Another benefit of having in-house AI development is that it can be an added advantage by way of Intellectual Property rights, giving it a competitive edge over others.

Better pooling of resources

Employing own incumbents means that they will not only be sharing the similar organization’s cultural values but also enhance its traditions as well as ideals.

Drawbacks of In-house AI development

First of all, finding experienced AI experts is not easy and they demand high wages.  

By outsourcing AI development, you may not have to face such problems as the outsourced AI experts already have an expert group to accomplish the tasks.

At times, a single project lasts only for a couple of months but requires AI expertise. 

Hiring an expert on a permanent basis for such a short period would make no sense. 

On the other hand, if you turn to  a well-reviewed, well-established and experienced AI service provider, you not only save much time but dime, as well.

What’s next? Outsource AI development to a reliable, affordable and stable company.

Want to know why? Go on reading!

Compared to non-core tasks, outsourcing for your core business tasks is an ideal option to go with. This way of getting work done is not only cost-effective, time-saving but tension-free, as well, thus keeping you busy in your other core tasks.

As reported by Statista, the outsourcing industry earned a profit of 92.5 billion dollars in 2019. 

The Grand View Research Inc predicts that by 2028, the outsourcing business market will touch 435.89 dollars with an average annual growth rate of 8.5% through the estimated phase.

Almost all industries now strive to minimize costs on non-core processes and lay more emphasis on core processes. 

This has further catapulted the desire in modern organizations to do core tasks on their own and outsource the non-core ones to augment their business potential.

Outsourcing a cost-efficient advantage

A striking feature of outsourcing is that it saves a lot of money for the company. 

The wages in Asian countries are very low in comparison to the Western countries. 

A task of the same nature done in the West can easily be done at a paltry amount in a country like India. 

Moreover, the added advantage is that though the cost is low, the quality is not compromised.

Outsourcing: share both ways – the risks & benefits

Outsourcing is governed by a legal contract which includes the scope of work, Non-disclosure Agreement, payment clause, the deadline, the performance clause, the confidentiality clause, the withdrawal clause and so on. 

Thus, both have to share the risks and benefits fairly without the fear of any foul play.

Outsourcing & Flexibility

Speed and accuracy are essential ingredients that companies look forward to ensuring in their work. 

To achieve these objectives, the outsourcing companies are adapting to a flexible work culture, constantly upgrading their solutions and integrating with their clients as their internal teams for best results and satisfaction to both.

How to choose an ideal outsource company?

Finding an ideal company to outsource AI development involves mainly research, consultation and checking the track record of the company’s previous works.

First of all, find the area of expertise of the company in question, its past work portfolios, and the companies it has worked with and their reviews. 

Discuss your project and see whether the company’s offer is worthwhile to you. 

Also, properly understand the possible risks and what the company can do to resolve them. 

While checking the company’s previous references, look closely to those projects that are relevant to your domain.

Verify Key Areas of AI Technologies

Artificial intelligence is a specialized realm and hard to learn. So, before you outsource AI development core tasks, do make sure the company’s expertise in Big Data, Artificial Intelligence, Machine Learning and Business Intelligence etc. 

This way,  you can have the satisfaction of getting the work done through the best possible professionals.

A Bit of Important Homework

Although in the Asian countries, the costs are low and the quality of work is good, you still have to check on some pertinent points with the outsourcing agency:

  1. Do the AI professionals speak fluent English? It can prevent possible misunderstandings;
  2. How many time zones are there in the country of the outsourced country? The time zone difference should be within 7-8 hours to communicate with agency people during working hours;
  3. How does the company raise bills and does accounting? There should be good co-ordination between the agency’s accounting department and yours, conforming to requirements of your country.


It is not easy to say whether a company should go to develop its own team of AI specialists or outsource the job to an external agency.

Either way,  there are some merits and demerits. However, the modern trend in growing companies shows a tilt to outsource non-core processes to external companies.

After reading the article about “know why to outsource AI development core tasks, we hope that you may be a little confused in deciding whether you should choose to outsource AI development or in-house AI development for core tasks.

If you have any questions about how in-house and outsource AI development are going to benefit your business, feel free to ask us anytime, we would be more than happy to answer them in the comment section below.

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