OutSystems vs. Mendix: Which Platform Offers Better Total Cost of Ownership (TCO)?

Why TCO Matters in Low-Code

As more businesses embrace low-code platforms to accelerate application development, understanding Total Cost of Ownership (TCO) is critical. Beyond initial license fees, hidden costs—from scaling and maintenance to hiring skilled developers—can significantly impact the long-term value of your low-code investment.

In this guide, we’ll break down OutSystems and Mendix, focusing on key factors that influence TCO, to help you make an informed choice for your organization.

What is Total Cost of Ownership (TCO) in Low-Code?

TCO refers to all costs associated with purchasing, implementing, and maintaining a low-code platform over time. This includes:

• Licensing and subscription fees

• Infrastructure and hosting costs

• Development and customization expenses

• Talent acquisition and training

• Maintenance, support, and scaling

• Migration and integration costs

1. Licensing Costs: Comparing Pricing Models

OutSystems Pricing

OutSystems offers two main pricing models:

• Standard (cloud-hosted by OutSystems)

• Self-managed (hosted on your own infrastructure)

OutSystems’ pricing starts around $4,000/month for basic packages and can scale significantly depending on app complexity, user volume, and number of environments. Clients often cite licensing as a premium investment, especially when scaling to larger user bases or adding environments for dev, staging, and production.

Key factors influencing OutSystems TCO:

• Tiered pricing based on users, apps, and environments.

• Extra costs for additional support, integrations, or production environments.

• Less flexible for smaller organizations without enterprise-level budgets.

Mendix Pricing

Mendix also offers tiered pricing:

• Basic plans for small teams and early-stage apps.

• Enterprise plans for larger, mission-critical apps.

Pricing starts around $1,875/month for entry-level (as of public info) but can scale. However, Mendix often offers more flexibility in licensing and scaling plans—especially for companies migrating from other platforms (e.g., OutSystems).

Key factors influencing Mendix TCO:

• More flexible scaling models—including per-app and enterprise-wide.

• Cloud and on-prem options via Siemens infrastructure.

• Attractive to companies using Siemens’ tech stack (PLM, Teamcenter).

🎯 Verdict: Mendix typically offers more flexible and scalable pricing—especially for growing companies and those with fluctuating development needs. OutSystems may require larger upfront commitments and higher scaling costs.

2. Development Costs: Talent Availability and Rates

OutSystems Talent Market

While OutSystems is well-established, finding experienced OutSystems developers remains a challenge. Because of the niche skill set and smaller talent pool, companies often face:

• Long hiring cycles (3–6 months for senior roles).

• Higher daily rates for contractors/consultants.

• Need for specialized training for internal teams.

💡 Average OutSystems developer cost:

• $80–$120/hr USD (based on market rates and role seniority).

Mendix Talent Market

Mendix has grown significantly in recent years, with a rapidly expanding talent pool, especially in Europe, US, South Africa, and Brazil. Companies leveraging Mendix often find:

• More accessible talent, including certified Mendix Experts.

• Faster access to developers through consultancies like Deployd.

• Lower to mid-range rates compared to OutSystems for similar skill levels.

💡 Average Mendix developer cost:

• $65–$110/hr USD, depending on role and region.

🎯 Verdict: Mendix generally offers better talent availability and lower sourcing costs, significantly reducing TCO when compared to OutSystems.

3. Infrastructure and Hosting

OutSystems

• Primarily hosted on OutSystems Cloud (AWS/Azure-based).

• Self-managed options are available but can increase operational overhead.

• Licensing often includes hosting but adds costs for scaling, environments, and storage.

• Some companies report limitations in integration flexibility when self-hosting.

Mendix

• Fully flexible: Mendix Cloud, private cloud, or on-prem (via Siemens).

• Self-managed hosting allows companies to leverage existing cloud partnerships (e.g., AWS, Azure, Google Cloud).

• More cost-efficient for companies already embedded in Siemens or AWS ecosystems.

🎯 Verdict: Mendix often presents lower infrastructure costs and more flexible hosting options, reducing ongoing ownership costs—especially in complex IT environments.

4. Maintenance & Scaling Costs

OutSystems

• Known for rapid prototyping but can require costly refactoring for complex apps.

• Larger apps or multi-app portfolios can require additional licensing and support fees.

• Custom integrations and updates can become costly over time.

Mendix

• Strong focus on enterprise-grade, scalable applications.

• Modular approach makes scaling and maintaining apps easier.

• Lower ongoing costs due to the extensibility and open nature of the platform.

🎯 Verdict: Mendix is often easier to scale and maintain, reducing future technical debt and lowering TCO.

5. Migration & Integration Costs

OutSystems

• Proprietary architecture means complex and expensive migrations if moving off-platform.

• Limited portability for apps/data—lock-in leads to high exit costs.

Mendix

• More open ecosystem makes integration and future migration simpler.

• Often the platform chosen for migration from OutSystems due to more flexible architecture.

🎯 Verdict: Mendix typically offers lower migration and integration costs, making it a safer long-term investment.

6. Talent Pipeline and Future-Proofing

A major but overlooked TCO factor is future access to talent and skills.

• OutSystems' smaller talent market limits future scaling and increases rates.

• Mendix has a growing ecosystem, more training options, and broader partnerships (e.g., Siemens, AWS), giving companies more affordable and scalable talent pipelines long-term.

🎯 Verdict: Mendix is better positioned for companies thinking long-term about talent and scaling, positively impacting TCO.

Final Verdict: Which Low-Code Platform Offers Better TCO?

🎯 Summary: For companies focused on long-term cost-efficiency and flexibility, Mendix tends to offer better TCO across licensing, development, and scaling.

How Deployd Can Help Reduce Your TCO

At Deployd, we specialize in helping companies transition from OutSystems to Mendix—or start fresh with Mendix—by providing pre-vetted, certified low-code specialists who hit the ground running.

✅ Reduce development and hiring costs.
✅ Avoid costly migration headaches.
✅ Build scalable, maintainable low-code apps that drive business value.

If you're exploring a switch to Mendix or looking to optimize low-code costs, let’s chat. Deployd is here to help.

Want to Learn More?

📩 Contact us: hello@deployd.co
🌐 Visit: www.deployd.co