Why a quarter of software developers will be freelancing by 2030

In the dynamic landscape of technology, the demand for skilled software developers continues to soar. This growing need has created a thriving market for freelance developers.

In my role as the VP of Client Relations, I have the pleasure of speaking with dozens of clients weekly – CDOs, CIOs, heads of software development, directors of engineering, DevOps and architecture teams. One trend that keeps popping up is the increasing use of freelance tech talents. It's no longer surprising to hear companies talking about external developers integrated into their in-house teams. In fact, many companies already have a handful of freelancers onboard to help maintain flexibility and scalability.

While market trends definitely influence this shift, it's become quite normal for companies to rely on freelancers. Typically, in a developer team of twenty, you’ll see anywhere from one to five freelance developers working alongside full-time staff. This isn’t just a short-term trend; it’s a new norm, and it’s growing rapidly.

Looking ahead, I’m making a bold prediction. By 2030, a quarter of developers will be freelancing. Below is why I think this is inevitable and not just wishful thinking.

1. Freelancing is more lucrative for developers

Let’s be real – compensation matters. Freelancing is simply more lucrative in the long run. While it’s true that freelancing carries more risk than a full-time job, it’s a risk most developers are willing to take. In fact, recent statistics show that the average freelance developer is now earning a six-figure income annually.

Sure, there might be a month or two between projects, but the financial cushion freelancers build over time typically makes up for any short-term gaps. By the end of the year, most freelancers are comfortably ahead.

Freelancing not only offers financial benefits but also grants developers greater freedom in how they manage their daily lives. Freelancers can choose projects that align with their interests, set their own schedules, and have the flexibility to work from anywhere. This autonomy allows them to balance work with personal priorities in ways that traditional full-time roles often cannot.

2. Freelancing is less emotionally draining

One common misconception is that freelancing is always short-term but the reality is different. Most freelance gigs last more than a year, and in my experience at Thriv, many last even longer. Many freelance developers think that even when they are on a project for 15 months, it doesn’t carry the same emotional weight as being a full-time employee.

Why? There’s always an end date in sight, perhaps not articulated but it’s always there. As a freelancer, you are hired for a specific project, not to get bogged down in the company’s long-term struggles and product roadmaps. You’re there to do the job well and help the company to move forward. The expectations are clearer and the role is more focused, meaning you don’t carry the weight of the company’s broader challenges with you. Also, the client actually expects you to be a bit more vocal and honest with your feedback which is not always possible if you were on payroll.

3. Freelancing is better for the companies themselves

Companies aren’t just embracing freelancing because it’s trendy – it’s also practical. Especially in regions like Europe, where labour laws are rigid, freelancing offers much needed flexibility. It lets businesses scale their development teams up or down as needed, without the long-term financial or legal commitments tied to full-time hires.

Plus, companies often need highly specific expertise for short-term projects. For example, why would a company hire a full-time SAP specialist for a nine-month implementation project? It makes more sense to bring in a freelancer. Similarly, when business priorities shift and leadership suddenly needs to handle an integration project due to a merger, a flexible freelance team can jump in and tackle it while the in-house team stays focused on the existing roadmap.

Win-win for both developers and businesses

In short, freelancing offers a win-win for both developers and businesses. For developers, freelancing provides higher earning potential, greater autonomy and the ability to work on diverse projects, all while avoiding the long-term commitments of traditional employment.

For businesses, it offers the flexibility to scale their teams up or down based on demand, access to specialised expertise and cost efficiencies by avoiding the overhead associated with permanent full time employees. As companies continue to realise these advantages, they will need to adapt their internal processes to better integrate freelance talent.

I’m convinced that by 2030, this model will become the standard for tech teams, with a significant portion of developers embracing freelance work.

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