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- 8 July 2004 14:24
2004 Signals Return to Growth in IT Services Markets, Says IDC
NORTH SYDNEY, 8th July – IDC Research into the Australia IT Services market has revealed Australian organisations are now opening the coffers – with IT budgets finally on the rise again. In a new IDC study, it was found that the IT services market is projected to grow to A$11.3 Billion in 2004. These higher spending intentions will see the Australian market grow at a compound annual growth rate of 6.8 percent to reach $14.6 Billion in 2008.
Australian Services Market by Macro-Market Market Area % share Outsourcing 47.5% Consulting/SI 34.6% Support/Training 17.9%
Source: IDC 2004
"Growth in outsourcing continues to drive the services market, and is forecast to continue to represent around half of the Australian market. " said Phillip Allen, Senior Analyst in IDC's Services group.
Mr Allen also noted that "After two years of flat growth, the market is poised to move, with Australian IT budgets finally growing again. Australian companies are starting to feel more confident about overall business prospects, however, for IT vendors this remains a buyers market. "
IDC expects the IT services market to continue to grow in the future, albeit at a slowing rate as operating conditions inevitably become more difficult due to a combination of market maturity, and significant downward price pressures for project-oriented services as well as competition by off-shore providers.
Full details can be found in the IDC study - Australia IT Services Forecast and Analysis, 2004-2008 (IDC # AU222108L 2004).
To purchase this document, please call the IDC sales team on (6-12) 9925-5300 or email firstname.lastname@example.org For press enquiries please contact: Philip Allen Senior Analyst, Services Email: email@example.com Phone: 61 2 9925 2276