Data security has become a top alert among software development companies in terms of to-day and prospect outsourcing contracts. Moreover, companies associate a significantly higher security risk when working with offshore providers, due to the lack of trust to developing countries.

Increasingly more companies of different sizes are new to outsourcing or actively move forward to doing so. In this overview one will consider the issues of information security in outsourcing relations, provide company's vision to data security capabilities of their offshore partners. Data security and relations confidentiality are most important when it comes to selecting an outsourcing partner, some companies would rather overpay the services but ensure high reliability and maximum security of their commercial and other sensitive information. This is the point of no return for software outsourcing and development industry: as security business spins up, the outsourcing industry needs to upgrade its security capabilities to gain more trust to the industry and to exceed customers' expectations.

The report also includes the index of rising anxiety about cyber security, sensitive data theft, and networks security issues. As for security precautions, 70 per cent of respondents replied that they review their outsourcing plans keeping in mind the recent huge cyber world crime events. Almost 50 per cent of cast some doubt on security claims by outsourcing vendors. The rest of results are also disappointing: 30 per cent of respondents consider security competency unverifiable whereas 20 per cent don't believe the vendors' security claims at all.

According to polled companies the most acute issue is stealing or no-purpose usage of outsourced databases and commercial information disclosed to offshore outsourcing partner. When it comes to the matter of trust to offshore vendors, respondents predominantly point to a superior concern over security risks or as they said a "fairly higher" or "often higher" security risk pressure with offshore vendors.