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Onshore and offshore software development companies differ primarily in their location and proximity to the client. Onshore companies are located within the same country as the client, facilitating real-time communication and often higher costs, while offshore companies are located in a different country, offering cost advantages but potentially introducing time zone and communication challenges. For a more in-depth exploration of offshore software development, I recommend checking out the article at https://www.cleveroad.com/blog/offshore-mobile-app-development/. This article provides valuable insights into the offshore development process, including its benefits, challenges, and tips for successful collaboration.