An Offshore Development Center (ODC) is a dedicated team of software developers and IT professionals in another country and a different time zone. Companies establish ODCs to outsource some or all of their software development or IT operations to a cost-effective location, to reduce costs or access specialized expertise. Setting up an ODC often requires establishing a legal entity in the offshore location, or alternatively, partnering with an ODC provider who can handle legal requirements and compliance.

These teams are managed by the offshore development company, which is responsible for complete infrastructure setup and resource management to ensure seamless operations. Securing appropriate office space is a critical part of the infrastructure setup, providing a secure and functional environment for the remote team.