by: Sarah Joson
Friday, July 19, 2013 | Outsourcing News |
A report from technology research firm Gartner states that the global IT outsourcing industry will grow this year, reaching US$288 billion. IT outsourcing spend would increase 2.8 percent in USD, and 5.1 percent in constant currency.
Emerging markets like Asia-Pacific, Great China, and Latin America were seen growing over 13 percent.
According to Gartner Research Vice-president Bryan Britz, the slowdown in the IT market’s overall growth is caused by near-term market factors like economic, labor and political environment, rapidly evolving IT outsourcing delivery models, and the financial performance and budget of service providers. Moreover, he said projections for 2013 will be similar to 2012 forecasts.
However, Gartner’s projections for 2014 are higher to prepare for custom application outsourcing and infrastructure services. From the figures drawn up, software-as-a-service remained excluded from its outsourcing numbers.
Britz noted that the propellers of cloud and data center service management segment are enterprise buyers looking for IT strategies, as well as the demand from small and mid-sized business buyers for infrastructure as a service (IaaS). The data center outsourcing market is declining due to the migration of workload to IaaS and infrastructure utility services outpacing data center outsourcing.
Also, the rapid adoption of mobile devices and connectivity is driving the growth of IT support outsourcing.
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