HackerRank Caps Out A Successful Year Announcing 72% ARR Growth Amid Global Talent Shortage
MOUNTAIN VIEW, California., February 8, 2022 /PRNewswire/ — HackerRankthe developer skills company, today announced the results of a great year for the company’s technical recruitment platform and developer community, beating its plan with 72% year-over-year growth in ARR in 2021. The number of developers using the company’s platform have used their skills and interviews for jobs grew to more than 18 million.
This momentum is fueled by a global talent shortage and a growing demand for skilled developers across all industries. In December 2021 the US alone unemployment rate for IT jobs fell to a staggering 2% – nearly half the national unemployment rate of 4%. At the same time, companies intensified their search for additional technical talent: there was one across all sectors estimated 332,564 job postings for open tech positions in US in December 2021 – 22,500 more than the previous month and hit the highest monthly total since March 2020.
Addressing a global talent shortage
To gain a competitive edge, companies around the world are investing in their technical hiring processes to increase efficiency and refine the candidate experience, using HackerRank as the standard for assessing technical skills. As of the end of 2021, HackerRank has rated software developers around the world with more than 188 million technical challenges and code submissions, reaching a record 10 million submissions Aug 2021 alone. To date, the company is a vendor of choice for more than 2,800 global organizations, a number that has grown 36% over the past year. Today, the company serves more than 25% of the Fortune 100.
The surge in activity comes as companies around the world adapt to a remote-first workforce and compete for candidates amid an ongoing talent crisis expected to achieve a shortage of 85.2 million workers around the world by 2030. If left unchecked, this shortage of skilled workers could lead to approx $8.5 trillion in unrealized annual revenue by 2030.
“HackerRank’s fundamental mission is to accelerate global innovation, and we believe the shortage of software developers and reliance on pedigree over skills are significant bottlenecks to that innovation,” he said Vivek Ravisankar, co-founder and CEO of HackerRank. “We want to remove the barriers for companies to find talent, regardless of where that talent comes from. With labor shortages leading to increased demand, the moment presents an opportunity for us in tech to broaden our ideas of what we think developers might look like, or how they should acquire their skills.”
Growing demand for developer reviews
Supply and demand pressures in the tech job market have led to unprecedented competition for tech positions at all skill levels. With the stakes more than ever to attract talent with the right technical skills, HackerRank has seen an increasing use of its ratings at all skill levels. In 2021, the company saw an almost equal distribution of these types of reviews between experienced candidates and young talent (those with less than three years of work experience).
To assess more experienced developers, the assessments themselves are evolving to better test nuanced skills in complex technical environments. In 2021, HackerRank saw 93% growth in usage of its project-based assessments, which offer companies and candidates a fully virtual and collaborative IDE. In this environment, they can program and complete live coding assessments that replicate the real-world technical challenges a candidate in the role might encounter. This sandbox environment allows companies to conduct dynamic technical assessments while giving candidates a more realistic insight into the company’s technical and organizational culture.
Product innovations to meet the changing needs of developers
To meet growing demand, HackerRank has rolled out a number of product enhancements and features over the past year to provide the best service for interviewees and hiring teams alike. These updates include:
- Expanding the content library: The company has introduced 10 new roles and 35 new skills, bringing its total content library to 27 roles, 100 skills and more than 3,100 questions. The company hosts the largest assessment content library in the world, with recent additions including support for the Laravel PHP web framework and state-of-the-art roles such as Machine Learning Engineer and Data Analyst.
- Counterfeit detection and protection: After noticing a 37% increase in plagiarism attempts, HackerRank invested in machine-learning plagiarism detection tools to look beyond code similarities. The company’s industry-leading algorithm evaluates behavioral signals such as candidate score, submission timeframe and consistency across different versions of a programming language to monitor for fraud.
- New integrations: To streamline the technical fit into the mainstream systems used by its customers, HackerRank expanded its technical integrations to 30 partners, with notable additions of Webex and Eightfold.ai in 2021.
- Improved user experience: Throughout 2021, the company has invested heavily in improving the candidate, recruiter and hiring manager experience. Key efforts have included helping organizations increase their hiring maturity by organizing their interview processes in a consistent manner and saving time assessing design skills with preconfigured whiteboard drawings.
- Democratizing the hiring of technicians: HackerRank has released a free version of its online interviewing tool to make it easier for developers around the world to interview qualified, high-caliber talent in an easy-to-use and collaborative environment. The integrated video conferencing and development environment provides access to pre-qualified tests, a virtual whiteboard and diagramming tools to enable more experiential technical interviews by developers for developers.
HackerRank, the developer skills company, helps companies attract, benchmark, and hire the best tech talent from around the world. More than 2,800 clients across all industries, including over 25% of the Fortune 100, rely on HackerRank to increase their hiring needs. More than 18 million developers (about 40% of the global developer population) trust HackerRank to learn and showcase their coding skills. Two developers complete one HackerRank code submission every second, or 185,000 per day. For more information visit www.hackerrank.com.
Lucy Stenzel Poore
Mission North for HackerRank