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13/01-05   -   Pressmeddelande

Number of Large IT Outsourcing Deals Fell in Sweden in 2004, Says IDC

According to a new IDC study, there was a fall in the number of large IT outsourcing deals in Sweden in 2004. Market growth was 12% in 2003 and around 10.5% in 2004, but this is forecast to drop to 7.4% in 2005, with a particular slowdown in IS outsourcing growth. Average annual growth is expected to be 8% between 2003 and 2008.

IBM and HP recorded strong growth in the past year, as the market continues to consolidate. The three largest vendors in 2003 — IBM, WM-data, and TietoEnator — accounted for 31% of the market, but in 2004 the three largest vendors — IBM, HP, and WM-data — are expected to increase their market share to 41%.

The fall in the number of large deals, due to a slowdown after a period of high activity, has been offset by an increase in the number of deals in the SME sector, with more SMEs recognizing the benefits of outsourcing, such as improved efficiency.

2002 and 2003 were the years of the large deal (those worth more than about SEK 500 million). Of the top 100 outsourcing deals in 2003, for example, 20 were in the Nordic region — eight in Denmark, eight in Sweden, three in Norway, and one in Finland. In value terms, Denmark ranked equal second with Germany, closely followed by Sweden. With the number of large IT outsourcing deals falling in Sweden in 2004, however, IDC says the market is expected to move towards smaller installations.

According to IDC Research Manager Esa Peltonen, vendors that can provide utility-like offerings, a combination of business process and IT outsourcing, and offshore capabilities are the ones that are most likely to win the largest IT outsourcing deals.

The study, Sweden IT Outsourcing and Utility Service Market 2003 Vendor Shares and 2003–2008 Forecast (IDC #SE560521L, December 2004), analyzes the Swedish outsourcing and utility services market in 2003 and 2004 in five segments and provides forecasts to 2008. It also includes 2004 estimates of top 10 IT outsourcing services vendor shares.

To purchase the document, please contact your local IDC office or visit www.idc.com.

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 More Information contact:
Esa Peltonen
+358 9 8770 466
epeltonen@idc.com

Pressekontakter


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IDC Nordic
Kistagången 21
164 25 164 25 Kista, Sverige

  +46 (0)8 751 0415

http://nordic.idc.com

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