The Top LATAM Locations to Source STEM Educated Talent

The adoption of AI is transforming the B2B SaaS market, making outsourcing a strategic necessity. LATAM has emerged as a critical hub for cost-effective, highly skilled tech talent. With strong STEM education, cultural alignment, and time zone proximity, nearshoring to LATAM enables U.S. companies to scale their teams efficiently while optimizing costs.

The Nearshore Outsourcing Model

According to Statista, U.S. companies outsourcing to LATAM report productivity gains of up to 30%, thanks to streamlined communication and collaborative business practices. LATAM’s tech ecosystem is expanding fast, producing nearly one million new tech graduates annually. This growth is driven by strong STEM education, increased female participation, and geographic proximity to North America, fostering seamless collaboration. At Savant Growth, we drive sustained company growth for our portfolio companies by leveraging our LATAM subsidiary, DevSavant, to tap into top talent across these key regional tech hubs.

Brazil: LATAM’s Largest Tech Workforce

Home to the largest tech workforce in LATAM with over 500,000 developers, growing at 15% annually. Brazil’s strong STEM education system provides U.S. companies with a steady pipeline of cost-effective, skilled professionals, ideal for startups and enterprises looking to expand.

Mexico: Proximity and Cultural Familiarity

Known for its geographic proximity and cultural alignment with the U.S., Mexico has 223,000 tech professionals, growing 13% yearly. Guadalajara, the "Silicon Valley of Mexico," is a major tech hub, driving innovation and attracting venture capital, making Mexico an ideal nearshoring destination.

Argentina: High English Proficiency and Technical Talent

High English proficiency and a strong focus on IT services make Argentina attractive for U.S. companies. With 115,000 developers and 10% annual growth, Buenos Aires leads the country’s tech ecosystem, offering competitive labor costs and seamless communication for nearshore teams.

Colombia: Government Support and DynamicTech Hubs

High English proficiency and a strong focus on IT services make Argentina attractive for U.S. companies. With 115,000 developers and 10% annual growth, Buenos Aires leads the country’s tech ecosystem, offering competitive labor costs and seamless communication for nearshore teams.

The Nearshore Advantage for U.S. Companies

Nearshoring to LATAM offers U.S. companies significant benefits, including overlapping time zones for real-time collaboration, cultural alignment that enhances teamwork, and cost savings of up to 50% compared to domestic hiring. This approach provides a strategic solution for startups and established businesses to scale tech talent efficiently while reducing operational expenses.

At DevSavant, we turn cultural differences into opportunities for growth and innovation by fostering synergy between teams and clients. We proactively address cultural nuances to enhance collaboration and creativity, with leadership regularly visiting LATAM teams to build trust and community. By embracing diverse perspectives, we cultivate an inclusive environment that drives our teams to excel.

As businesses increasingly recognize LATAM’s proximity, cultural fit, and skilled workforce, the nearshoring model continues to grow. Looking ahead, LATAM is poised to remain a key partner in helping U.S. companies achieve their growth goals. Stay tuned for insights into LATAM’s tech ecosystem for 2025!