IT Services Market set to hit $55.9 Billion by 2011

IT Services Market set to hit $55.9 Billion by 2011

By Nathan Statz

March 25, 2008: Springboard Research has released a report detailing how the IT Services Market in the Asia Pacific region is set to balloon out to $US 55.9 Billion ($AU 61 Billion) by 2011.

The analysts at Springboard Research are predicting that the current IT Services market in the Asia Pacific (excluding Japan), which was valued at $US 37.5 Billion ($AU 41.1 Billion) in 2007 is on track to grow to $US 55.9 Billion ($AU 61 Billion) by 2011.

The report has identified that India will remain the fastest growing IT Services country in the region, while Greater China will represent the largest regional opportunity within the next three years.

“The Asia Pacific IT Services market is arguably the global leader in terms of growth, supplemented with a mix of mature and emerging markets,” said Phil Hassey, Vice President – Services Research at Springboard Research.

According to Hassey, the markets of interest are not just the usual top four suspects of China, India, Australia and Korea but rather emerging ones like Indonesia and Vietnam, which will register significant growth going forward.

“For India and China, local capabilities, offerings and presence is just the start of a list of essential requirements for success. On the other hand, existing relationships, marquee clients and strong partnerships can provide capabilities for expansion in markets such as Hong Kong and New Zealand with relatively limited opportunities,” said Hassey.

Springboard has gauged each of the countries on a Market Attractiveness Index to rank individual services markets based on growth opportunities.

Top 10 markets ranked by attractiveness in Asia/Pacific:

  1. People’s Republic of China
  2. India
  3. Australia
  4. Korea
  5. Indonesia
  6. Vietnam
  7. Malaysia
  8. Rest of ASEAN
  9. Singapore
  10. Philippines

The report has also found that Application Hosting will register the fastest growth over the next three yeas, though Enterprise Application Integration will form the largest market component despite this growth spurt.

Comment on this story.

Business Solution: