Peripheral Development
This is an engagement model, where product companies go for outsourcing certain peripheral activities of product lifecycle to OPD provider, such as QA & testing, product implementation. ISVs keep with them core product development activity. In this model, source code of the product will not have to be shared to begin outsourced product development.

With peripheral development model, OPD provider can show its credibility and win the confidence of ISVs.

Modular Development
In this model, some non-core modules of the product are outsourced. However, product integration skills are key for both the ISV and the OPD provider.

Co-Development
In this model, the ISV’s and the OPD the service provider's teams work jointly in an onsite-offshore manner to develop the product. The OPD provider's team has all the rights and privileges to work on the code base.

Managed Development
In the managed development model, the OPD provider provides the required resources, infrastructure and an offshore development center, and the product company directly manages the product engineers.

Full Fledged Development
In the model, the OPD provider takes complete responsibility for the product development.