Executive Summary
About This ShortList
Custom Software Development Services (CSDS) are evolving as enterprises move beyond traditional application development toward AI-enabled, adaptive software systems. While off-the-shelf software continues to address common use cases, organizations increasingly rely on CSDS providers to design and build solutions that reflect unique business processes, data assets, and operating models. This need is accelerating as companies adopt generative AI, automation, and agentic architectures that cannot be addressed through packaged software alone.
Modern CSDS engagements now extend beyond coding and system integration to include AI-native application design, workflow orchestration, and the responsible use of large language models. Service providers are expected to bring expertise in areas such as model selection, prompt and context engineering, agent coordination, and integration of AI capabilities into production-grade systems. As a result, CSDS providers are becoming strategic partners in shaping how AI is embedded into business workflows, developer toolchains, and customer-facing applications.
At the same time, buyers continue to expect strong engineering fundamentals, including scalable architectures, security, and long-term maintainability. Leading CSDS providers balance deep software engineering capabilities with emerging AI and automation skills, helping organizations transition from experimental AI projects to reliable, governed, and extensible software systems. This ShortList reflects that shift, highlighting providers that can support both traditional custom development needs and the next generation of AI-driven applications.
Threshold Criteria
Constellation considers the following criteria for these solutions:
Core Capabilities
- Requirements discovery and solution design
Demonstrated ability to translate business requirements into scalable, secure, and maintainable software architectures. - Modern software engineering practices
Use of agile development methods, DevOps, CI/CD pipelines, and cloud-native design to support iterative delivery and continuous improvement. - Integration with enterprise systems and platforms
Experience integrating custom software with existing applications, data platforms, APIs, and enterprise infrastructure. - Testing, quality assurance, and security
Strong testing practices, including functional, performance, and security testing, to ensure production readiness. - Ongoing maintenance and lifecycle support
Ability to support, enhance, and evolve custom software beyond initial delivery.
Differentiated Capabilities
- AI-native application development expertise
Proven experience embedding generative AI, machine learning, and automation into custom applications and workflows. - Agentic and workflow-aware system design
Capability to design systems that coordinate multiple AI agents, tools, and services to execute complex business processes. - Context and data integration for AI systems
Expertise in grounding AI systems using enterprise data, domain context, and retrieval techniques to improve reliability and relevance. - Responsible AI and governance practices
Support for security, privacy, monitoring, and governance of AI-enabled applications in production environments. - Flexible delivery and talent models
Ability to scale delivery through global, nearshore, offshore, and build-operate-transfer models aligned with client needs.
The Constellation ShortList
Constellation evaluates more than 40 solutions categorized in this market. This Constellation ShortList is determined by client inquiries, partner conversations, customer references, vendor selection projects market share and internal research.
- Accenture
- Capgemini
- Cognizant
- Deloitte
- EY
- FPT
- GlobalLogic (Hitachi)
- HCLTech
- IBM
- Infosys
- KPMG
- Persistent
- QUANTIPHI
- TCS
- THOUGHTWORKS
- WIPRO
Frequency of Evaluation
Each Constellation ShortList is updated at least once per year. Updates may occur after six months if deemed necessary.
Evaluation Services
Constellation clients can work with the analyst and research team to conduct a more thorough discussion of this Constellation ShortList. Constellation can also provide guidance in vendor selection and contract negotiation.