Armenia's tech sector sees a 12% decline in foreign professionals, yet women now represent nearly 40% of the workforce.

In 2024, the number of foreign professionals in Armenia's IT sector decreased by 12%, according to the annual Armenian Tech Market Insights report by Armenian Code Academy. Despite this decline, expatriates still constitute approximately 18% of the total IT workforce. Over 90% of these foreign specialists hail from Russia, with others from Belarus and Ukraine, while professionals from other countries represent a minimal share.

Narek Aslikyan, co-author of the study, noted that contrary to popular belief, the presence of foreign workers in Armenia's IT sector remains significant.

The report estimates that the total number of employees in the IT sector reached around 58,700 in 2024, marking a 2% increase from the previous year. These figures differ from official statistics, which report approximately 40,000 employees, as the study includes professionals in supporting roles within IT companies, accounting for about 36% of the workforce.

Women's participation in Armenia's IT sector continues to be strong, with female specialists comprising nearly 40% of the workforce—a notably high figure compared to the European Union's average of just over 19% in 2023.

Official data indicates that there are about 6,000 registered IT companies and individual entrepreneurs in Armenia. However, Aslikyan points out that only 1,253 companies are actively operating. Of these, approximately 80% are local firms, and 20% are branches of foreign companies. Some local companies were initially established in Armenia but later relocated their headquarters to the U.S. to attract investments.

Among the 1,253 active companies, nine are classified as very large, each employing over 500 individuals, while 16 are large companies with 251 to 500 employees. Small companies, defined as those with 10 or fewer employees, number over 650.

The study also reveals that about 35% of companies develop their own products without fulfilling external orders, up from 31% in 2023. Aslikyan attributes this trend to developments in the sector over the past 10–15 years and an investment wave during 2021–2022, particularly in companies like SuperAnnotate and Krisp. Some of these firms have created products addressing needs that emerged during the COVID-19 pandemic, such as voice-cleaning solutions and remote work tools.