Top Software Development Companies in Virginia in 2024

Virginia has emerged as one of the prime locations for software industries due to many reasons. The diversified talent pool, competitive costs, and an environment that favors businesses make Virginia a favored destination for tech firms and professionals. 

Virginia is the second leading state in the top tech talent pipeline in the United States list. Also, it ranks second in WalletHub's list of most innovative states with the highest share of tech companies. Nearly 330,000 people in the state belong to the tech industry. 

Software development is a vital part of businesses now, irrespective of the type of business. With the help of top software development services, businesses can benefit significantly. Enhanced customer experience, better competitive edge, and the ability to understand and provide solutions to customers' pain points are a few of the advantages. 

The various advantages that software development can provide have made it a crucial part of the economic development of a region. With its big software talent pool and favorable business environment, it is home to some of the best software developers in the world. 

Here is more info about the advantages a top software development company in Virginia can get to become successful and the reasons for the presence of some of the best software development companies in Virginia. 

Major Software Development Hubs in Virginia

Virginia has a diversified tech workforce. The state leads in many software technologies like cybersecurity and cloud computing. It has 34 Fortune 1000 companies based in the state with a huge tech talent supporting business services and operations. 

Some of the major software development hubs that top software development companies in Virginia favor are given below:

Northern Virginia 

Northern Virginia (called NOVA by locals) is home to many tech firms like Amazon, Booz Allen Hamilton, Northrop Grumman, Verisign, and General Dynamics. The region has 8,900 tech companies and expects to add over 130,000 tech jobs in the next five years.  

It has prestigious universities like the University of Virginia, George Mason University, Northern Virginia Community College, and Virginia Tech. 

The proximity to Washington, D.C., and abundant technology service providers make this region ideal for large, medium, and small tech companies. The fact that D.C. is the country's third most concentrated tech talent market also works in its favor. 

The Fairfax County region has over 500 cybersecurity companies, making it a safe choice for established and new cybersecurity ventures. The region awards more than 18,000 tech degrees and certificates annually. Although it is popular as a defense industry hub, the region now excels in cloud computing, cybersecurity, artificial intelligence, and machine learning. 

Richmond

Richmond has a flourishing tech scene, and as per CBRE, a commercial real estate and investment firm, Richmond features in the top 50 tech talent markets in the USA. The city also has many Fortune 500 companies based in it. Meta, QTS, Capital One, Bank of America, Thomson Reuters, and Federal Reserve Bank of Richmond are tech-focused organizations based here. Richmond has a concentration of 3.9% tech workers, with a total of 24,520 tech workers. 

The region benefits from Growth and Opportunity Virginia (GO Virginia), an organization focused on advancing and investing in local tech talent. Recently, the region received $1.2 million in grants for four tech projects.  

Many of the best software development companies in Virginia prefer Richmond due to its tech initiatives. Tech initiatives in the region include:

• Tech competitions in the local university.
• A tech talent retention program for local graduates.
• An entrepreneurship program for computer science students.

Virginia Beach

Popular for its beaches, fishing pier, and boardwalk, Virginia Beach is now a tech hub attracting many software companies. 

It has many universities, such as Virginia Tech, Tidewater Community College, Norfolk State University, and Old Dominion University. The Virginia Beach technology, the Fablab, 757 Accelerate, and TCC Idea Factory are a few incubators and accelerators here. It hosts four major undersea cables built by tech giants like Microsoft, Facebook, Google, and Telefonica, enabling high-speed connectivity.

Its proximity to Washington, D.C., and Northern Virginia provides easy access to a bigger market. 

It has over 5,000 miles of fiber, ensuring reliable internet connectivity. IBM, Microsoft, Google, and Oracle have offices in Virginia Beach. DroneUp (Drone developer), ServiceNow (cloud-based productivity service), and SimIS (an Information Technology company) are some of the best software development companies in Virginia that are established or newly founded. The region has a 4.1% tech worker concentration with a total number of 29,420 tech workers.

Market Overview

Understanding the current trends in software development can help businesses harness the potential benefits successfully. Here are some notable trends that can have a lasting impact on the software development market.

1. Artificial intelligence has far-reaching benefits in many aspects of a business. From enhancing productivity to improving customer experience, AI can boost business efficiency.
2. Full-stack developers have become popular as they help develop apps quickly and efficiently. 
3. Cloud computing provides developers access to cost-effective resources like development tools, apps, servers, etc. Cloud services like Google Drive, Salesforce, and Microsoft Azure provide businesses with easy data access.
4. The no-code/low-code process allows developers to use minimal coding for development. For example, Wix.com enables easy website and app construction using visual and responsive interfaces without coding. This method has the advantages of fast results, low cost, and high flexibility.

Virginia in the national and global software development market

Virginia is home to the third biggest tech workforce in the country. Its mid-Atlantic position attracts tech talent and businesses from the entire East Coast and other parts of the country. After stiff competition from various North American communities, Virginia emerged as the top contender for establishing a new headquarters (HQ2) for Amazon. This move is expected to create over 25,000 high-paying jobs. The thriving tech sector and huge talent pool are the key reasons. Some of the factors that attract the top software development companies in Virginia are

• It provides a favorable regulatory climate and provides customized incentive packages to minimize risks.
• The right-to-work law in the state is one of the oldest in the country, and it is also the northernmost right-to-work state in the I-95 corridor. 
• The income tax for corporate businesses has been consistently lower in the state at 6% since 1972
• Virginia has had an AAA credit rating since 1938 due to its robust economic policy and efficient financial management.
• The Virginia Jobs Investment Program (VJIP) is a development incentive that supports job creation and investment in the state by providing tax incentives and other methods that offset the cost of training and recruiting. Information technology companies are among the qualified businesses that are eligible for this program.

Technical Expertise of Virginia-based Developers

Popular technologies and frameworks used by the best software development companies in Virginia are based on the specific needs of their project. However, the most popularly used ones are listed here:

1. Angular. This is a front-end open-source framework used for developing single-page apps. It uses TypeScript and HTML. 
2. jQuery. Uses JavaScript and DOM (Document Object Model), which helps minimize code use. It simplifies operations and helps boost SEO and interactivity.
3. React. Used for single-page and mobile applications. It provides a comprehensive range of resources and component libraries besides providing access to third-party plugins and developer tools.
4. ASP.NET Core. This backend web framework from Microsoft has cross-platform compatibility that helps developers to create various applications. 
5. Django. This backend framework is based on Python and is used to create applications, including security features. 
6. Laravel. Laravel is a PHP framework used for rapid application development regardless of the type or size of a project. It has potent app testing and customization characteristics.

Besides the above, developers frequently use .NET, Java, JavaScript, Angular, and React.js for software development. Databases help in the easy access, retrieval, management, and updating of information. Developers in Virginia use databases like MySQL, MongoDB, SQL Server, Oracle Database, and Informix. 

For a full-stack web framework, developers prefer systems like Ruby on Rails as it helps in quicker design and development progress. The framework can manage front-end, backend, database, and administration comprehensively. The choice of technologies used is based on the business needs.

Some examples of the top software development companies in Virginia that have completed software projects successfully are:

• Sera-Brynn, founded in 2011, has launched a new SaaS offering supported by blockchain technology, which helps businesses manage their security and regulatory compliance. 
• CarMax, a leading player in the used-car market, has developed UX-boosting concepts like 360-degree photography that helps showcase cars.
• Cowden Technologies, a company based in Virginia Tech Corporate Research Center, develops autonomous drone technology, while the Virginia Tech Mid-Aviation Partnership program collaborates with autonomous drone technology.
• Pantheon is a software development company based in Virginia. Its signature software, the Odyssey Digital Automation Platform, is used by multinational corporations and Fortune 500 companies in more than 32 countries.

Education and Talent Pool

Some of the universities and boot camps that offer software development courses in Virginia are

1. Virginia Tech (formerly known as Virginia Polytechnic Institute and State University)
2. George Mason University
3. University of Virginia
4. Old Dominion University

Bootcamps offered in the state include

1. Coding boot camps by the University of Richmond
2. Full-time/part-time web development
3. Software Engineering Certificate
4. Front-end development and more.

Virginia has a wide education spectrum that includes K-12 classrooms, community colleges, and undergraduate and post-graduate programs that offer performance-based funding and encourage tech talent in the region. 

In the Northern Virginia/D.C. region alone, there are 6,300 computer science graduates per year. Due to the state making it mandatory for students to learn coding from the kindergarten level, the availability of skilled software developers is higher in the region when compared to other parts of the country.

Salaries and Compensation

The salary earned by software developers working for the best software development companies in Virginia ranges from $1,08,884 to $150,000 per year. As per the Bureau of Labor Statistics, the annual mean wage for developers in Virginia was $132,850 in a 2022 statistical analysis. The state employs 84,220 developers and ranks fifth in the states with the highest employment level in software developers.

Depending on the experience, the salary can vary. A developer with more than five years of experience could earn $127,887, while the salary is around $146,515 for developers with over ten years of experience.

When comparing top software development companies in Virginia, here is how other states differ.

1. States on the East Coast, like West Virginia, Kentucky, Mississippi, and Alabama, have 20% to 30% less salaries. 
2. California has the highest wages, with the San Jose-Sunnyvale-Santa Clara region paying an average salary of $167,420 per year. 
3. The San Francisco-Oakland-Hayward metropolitan area pays an average salary of $158,320 per year, making it the second highest-paid area in the country. 
4. The District of Columbia is another high-paying region, with developers earning $124,770 annually. 
5. The Baltimore-Columbia-Towson region in Maryland is the fourth best-paid region, with an average salary of $137,510. 
6. Washington State has the second-highest salary of $145,150 per year.

Cost of Living in Virginia

Virginia ranks 31ST of 50, according to the 2022 MERIC (Missouri Economic Research and Information Center) study. While Maryland ranks 46th, other neighboring states of Virginia, like West Virginia, North Carolina, and Kentucky, are comparatively more affordable. According to the Bureau of Economic Analysis, $48,249 is the average amount that a Virginian spends.  

When compared to the national average, Virginia does not have a high cost of living, which makes the salary paid to developers in this region high. Further, the amount spent on projects will also not be expensive compared to other states that show a high cost of living.

The competitive cost of living combined with other advantages like a mild four-season climate and attractions of cultural and historical significance make the state popular for an exceptional quality of life. All the major attractions present seaside and the mountainous areas are within easy driving distance. 

The cultural diversity and Southern charm of the state have made the state the best for quality of life by Forbes. Further, there has been a 37% reduction in the property tax in the region since 1978.

Why Choose Virginia for Software Development?

Out of the 238 proposals that Amazon received for establishing its new headquarters, it chose Virginia, proving its supremacy in the tech sector. Many factors have made the state the most preferred destination for software development in the country. They include:

• Virginia's flourishing and large talent pool is a big attraction to businesses. 

Virginia is investing over $2 billion to expand its talent pool via its Tech Talent Investment program, corporate partnerships, K-12 computer science initiatives, and targeted philanthropic gifts. 

• CNBC has ranked Virginia as the second-best state for business in the USA, making it the third consecutive year that the state has finished in the top three spots from 2021 to 2023.
• The Virginia Tech Corporate Research Center (VTCRC) currently houses over 225 companies employing 3,500 people. The center further plans to build 15 more buildings, adding to the existing 36 buildings located on over 230 acres of land.
• The state has not increased the corporate income tax rate of 6% since 1972, and the tax incentive programs here focus on attracting businesses. They include low real property tax rates, new green job tax credits, and Enterprise Zone Act credits, among many others. 
• Further, 25% of jobs in the state are in the tech sector. It is ranked fourth in the top tech talent market as per CBRE. The Fairfax County region has over 170,000 tech workers.
• When compared to other states, the project costs are not high. Affordable living costs and the technical expertise found in the region make it an attractive software development destination.

Conclusion

Virginia's location in the mid-Atlantic region offers proximity to all the major economic centers on the East Coast, such as the Federal Government, the Southeast metro, and the Northeast corridor region. 

The industry concentration is intense in the Southwest Virginia region as it has access to the highest level of tech talent, and its tech industry workforce is the third largest in the country. Nearly 315,000 people are working in the tech sector or in tech companies all over the state. 

The Commonwealth of Virginia has some of the best tech talent in the country, which helps top software development companies in Virginia to hire developers at competitive salaries. The state offers the best market, talent pool, and budget for tech firms, making it a prime location for software development in 2023. The presence of a high level of tech talent, resources, companies, and training programs has made Virginia one of the first choices for software development companies. While startups can leverage the advantages of the established infrastructure, developed businesses can capitalize on the vast resources and company networks to ensure phenomenal growth.