What is a common risk associated with outsourcing software development?

While short-term contracts may pose a challenge in maintaining continuity, they do not inherently lead to risks associated with confidentiality. The primary concern here is the contractual relationship rather than the security of sensitive information, making this option less relevant to the risks of outsourcing.

Outsourcing can sometimes lead to reduced flexibility in adapting to market demands; however, this is more about operational agility than security. The risk of compromising confidential information remains a more pressing concern compared to the flexibility of contract terms or vendor responsiveness.

The cost of developers' salaries is a financial consideration rather than a security risk. While outsourcing is often pursued to reduce labor costs, this factor does not address the critical issue of safeguarding sensitive data, which is vital for maintaining customer trust and compliance with regulations.