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IT Outsourcing Services: Scope, SLAs & 2025 Costs

December 4, 2025
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IT Outsourcing Services: Scope, SLAs & 2025 Costs

📌 TL;DR

IT outsourcing services cover a broad set of functions including software development, QA, DevOps, CloudOps, security, and outsourced IT support, delivered by external specialists under structured SLAs. In 2025, companies use outsourcing IT services to scale faster, reduce operational overhead, and stabilise delivery, while maintaining internal control. Providers typically handle HR, payroll, compliance, and training while offering predictable monthly costs.

Selecting a partner for IT services outsourcing requires clarity on delivery standards, cost structure, and operational expectations. The framework below provides a quick guide to evaluate scope, ownership, and performance metrics; what to expect from an IT outsourcing company; and how to compare all-inclusive models versus traditional service bundles. 

This helps leaders choose outsourced IT services that support long-term team stability, predictable costs, and seamless integration into internal workflows.

What’s Included in IT Outsourcing Services (2025 Breakdown)

1. Software Development Outsourcing

Typical service inclusions:

  • Frontend, backend, mobile, and full-stack engineering
  • Code review, sprint delivery, and architectural support
  • Feature development, production fixes, and technical documentation

Relevant SLAs to consider:

  • Sprint reliability and delivery accuracy
  • Critical bug response times
  • Defect escape thresholds

2. QA & Testing Outsourcing

Typical service inclusions:

  • Manual and automated QA
  • Regression, performance, security, and API testing
  • Dedicated test planning and reporting

Relevant SLAs to consider:

  • Test execution cycle times
  • Defect detection rate
  • Automation coverage targets

3. DevOps, SRE & CloudOps

Typical service inclusions:

  • CI/CD pipeline operation
  • Environment management (AWS, GCP, Azure)
  • Monitoring, incident response, uptime maintenance

Relevant SLAs to consider:

  • Uptime SLOs
  • Incident response windows
  • Deployment frequency standards

4. IT Support Outsourcing (Helpdesk L1–L2)

Typical service inclusions:

  • Ticket triage and device/application support
  • User provisioning, password resets, access control
  • Hardware/software troubleshooting
  • SaaS admin tasks

Relevant SLAs to consider:

  • P1 response <1 hour
  • P2 response <4 hours
  • First-contact resolution targets

5. Security & Infrastructure Services

Typical service inclusions:

  • Identity management, IAM configurations
  • Vulnerability scanning and patch management
  • Endpoint compliance
  • Basic SOC-aligned processes

Relevant SLAs to consider:

  • Patch cadence
  • Remediation timelines
  • Alert response commitments

Typical Cost Bands for IT Outsourcing Services (2025)

Costs vary across regions and skill levels, but 2025 benchmarks show:

  • Software development outsourcing: $3,500–$7,000/month
  • QA outsourcing: $3,000–$5,500/month
  • IT support outsourcing: $2,500–$4,500/month
  • DevOps/SRE outsourcing: $4,500–$7,500/month

Most traditional IT outsourcing companies rely on blended rates or ticket-based pricing that hides HR and admin overhead. Cloud Employee uses a single all-inclusive monthly cost per engineer, covering HR, payroll, benefits, compliance, L&D, and more.

What differentiates CE (Cloud Employee) is access to premium talent and a focus on development and engineering solutions. Engineers come from deep Philippines and LATAM talent pools and pass a CTO-led vetting process with technical screening and pair programming. Clients typically hire within 1–2 weeks, making outsourcing IT services faster, clearer, and more predictable than traditional models.

How Cloud Employee Delivers Outsourcing IT Services

Cloud Employee uses a staff augmentation model, engineers are fully-dedicated, work full-time on your roadmap, tools, and ceremonies, while CE handles all underlying administration. Compared to traditional IT outsourcing companies, the model prioritises:

  • Embedded collaboration, not ticket-based execution
  • High retention through structured HR and L&D
  • 1–2 week hiring cycles
  • Transparent, predictable pricing
  • CSM-led governance, wellbeing, and performance reviews

This creates the benefits of outsourcing IT services with the familiarity and ownership of an in-house team.

Case Insight — Scaling a 35-Person IT & Engineering Team (Travel Tech)

A global travel tech company needed rapid scaling across QA, DevOps, engineering, and technical leadership. Local hiring would have delayed delivery and increased operational overhead. They chose Cloud Employee to expand their capability through IT outsourcing services, using CE’s all-inclusive model to minimise admin and maximise delivery speed.

Key Results
  • 35 specialists hired, onboarded, and managed in under eight months
  • Dedicated UK-based Client Services Manager
  • Team fully integrated into Slack, WhatsApp, and weekly ceremonies
  • 2 years of delivery continuity through CE-led HR, L&D, and support
  • Zero disruption during scaling phases

The team now functions as a seamless extension of their internal engineering group, an example of how outsourced IT services can combine speed, stability, and high-quality talent without compromising governance.

“Together with our amazing vetting and recruiting team, we were able to turn it around in a very short space of time and have grown that team up to 35 people.”

Heather Wood
Client Services Manager, Cloud Employee

IT outsourcing services give organisations predictable costs, global access to talent, and structured delivery through SLAs. With CE’s all-inclusive pricing, embedded engineers, and 97%+ retention, companies gain the benefits of outsourcing IT services without losing operational control.

FAQs

What IT services can be outsourced?

Companies outsource software development, QA/testing, DevOps, CloudOps, security, and helpdesk functions. These IT outsourcing services reduce hiring delays and provide immediate access to specialised skill sets.

How do SLAs work in outsourcing IT services?

SLAs outline measurable performance standards—response/resolve times, uptime, deployment cadence, defect thresholds, and reporting cycles. Strong IT outsourcing companies provide structured governance and monthly SLA reporting.

How much does IT support outsourcing cost in 2025?

Outsourced IT support typically ranges from $2,500 to $4,500 per month per full-time engineer, depending on region and seniority. All-inclusive models like Cloud Employee’s remove hidden HR, compliance, and overhead costs.

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