18/08-03   -   Pressemeddelelse

Regained Confidence on the Nordic IT Markets, But a Long Process, Says IDC

COPENHAGEN, Denmark, August 18, 2003 — IDC is certain that growth in IT markets is going to improve over
2002, but without doubt 2003 is going to be seen as another very tough year for the IT industry. In a new study, IDC forecasts IT growth for 2003 to reach 1% to 2% in the Nordic region as a whole, which equals a 4 to 5 percentage point improvement over 2002. For 2004, IDC forecasts Nordic growth rates of 4% to 5%.

During the war in Iraq the IT investment sentiment took a hit, particularly among large companies becoming more cautions about their future investments. In most cases, the IT Investment Index shows that companies are again coming back on track and are steadily — however slowly — regaining confidence about future IT investment. The IT Investment Index, providing an indicator for IT investment sentiment among companies, returned to the pre-war level of 2.8. A value of 2.8 is the same as the one recorded in the first quarter of 2003 and the most positive attitude recorded since 1999.
"IDC forecasts that 2003 will definitively be a ´better year´ than 2002 with regard to IT market growth," said Per Andersen, managing director of IDC Nordic. "We are predicting the market to grow about 1% to 2% in the Nordic region, which is contrasting the market decline we experienced in 2002. Whether the small IT growth this year is going to be seen as a real improvement, however, is doubtful, as it is not even bringing the market back to the 2001 level."

The economic situation in Denmark seems to be the most favorable short term, with Norway facing the toughest situation in many years. According to the U.S. definition, the Norwegian economy is in recession, as GDP has fallen for two consecutive quarters.

"In spite of the recession or low growth numbers, significant opportunities still remain for IT vendors, one of the key ones being outsourcing. As the economy improves, enterprises will continue to outsource, driven to a lesser extent by the desire for cost savings and more by the need to access advanced technology and skilled human resources. IDC remains trustful about the future of the IT outsourcing market," Andersen said.

IDC´s Nordic Quarterly Executive Service, 2003, 3Q (IDC #N650303K) updates IT and telecom trends found in the four Nordic markets: Sweden, Denmark, Norway, and Finland. It highlights the most recent financial developments as well as major market developments in hardware, software, and services. New data and forecasts are provided for the size of all product markets in the Nordic countries. Furthermore, the IT Investment Index gives an up-to-date reading of the current investment climate in the Nordic region.

The study is available to purchase from your local IDC office, or at www.idc.com.

For additional IDC Nordic press releases, please see http://nordic.idc.com/press.

About IDC
IDC is the premier global market intelligence and advisory firm in the information technology and telecommunications industries. We analyze and predict technology trends so that our clients can make strategic, fact-based decisions on IT purchases and business strategy. Over 700 IDC analysts in 50 countries provide local expertise and insights on technology markets. Business executives and IT managers have relied for 40 years on our advice to make decisions that contribute to the success of their organizations.

IDC is a subsidiary of IDG, the world’s leading technology media, research, and events company. Additional information can be found at www.idc.com

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For additional information, please contact:

Per Andersen
+45 39 16 22 22
pandersen@idc.com

Lotta Hållén-Kragh
+45 39 16 22 42
lhallen@idc.com