In a recent study by IT industry analyst Ovum, more companies will outsource IT processes this year as economic conditions improve after the crisis. One-third of chief information officers (CIOs) said that they will increase their 2010 budgets, though only between one and five percent.
According to Ovum senior analyst Patrick O'Brien, companies avoided long-term outsourcing contracts during the economic crisis, but activity in IT outsourcing is predicted to improve this year. "I really do expect in 2010 for outsourcing to pick up. The markets already expect that as well, judging by the fact that the share prices of outsourcing companies have outperformed the general market over the last six months."
It was reported that outsourcing spending, specifically on IT, is expected to increase this year as the economy recovers from recession.