News
News
4/25/2005
02:16 PM
Connect Directly
RSS
E-Mail
50%
50%

Moderate Growth Expected In IT, Business Services Market

Global spending on information technology and business services is expected to increase at a moderate pace over the next five years, a market research firm said Monday.

Global spending on information technology and business services is expected to increase at a moderate pace over the next five years, a market research firm said Monday.

Companies and government are expected to spend $609.1 billion on external services this year, a 6.3 percent increase over 2004, International Data Corp. said. Spending is forecast to grow at a five-year compound annual growth rate of 7 percent to $803.9 billion in 2009.

Growth areas include horizontal business outsourcing, due to the trend toward consolidation in the industry, a decrease in the number of mega-deals, and a decrease in the average contract size, IDC said. In addition, project-based services are returning with moderate growth.

"In 2005, enterprise decision makers will continue to 'chunk' projects into smaller pieces with defined outcomes that tie directly into appreciable results," IDC analyst Sophie Mayo said in a statement.

Comment  | 
Print  | 
More Insights
The Business of Going Digital
The Business of Going Digital
Digital business isn't about changing code; it's about changing what legacy sales, distribution, customer service, and product groups do in the new digital age. It's about bringing big data analytics, mobile, social, marketing automation, cloud computing, and the app economy together to launch new products and services. We're seeing new titles in this digital revolution, new responsibilities, new business models, and major shifts in technology spending.
Register for InformationWeek Newsletters
White Papers
Current Issue
InformationWeek Tech Digest - July 22, 2014
Sophisticated attacks demand real-time risk management and continuous monitoring. Here's how federal agencies are meeting that challenge.
Flash Poll
Video
Slideshows
Twitter Feed
InformationWeek Radio
Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.