Services Market Nears $570B - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IT Leadership // IT Strategy

Services Market Nears $570B

Global PlayersFueled in part by the increasing availability of low-cost offshore-outsourcing services, worldwide sales of IT services grew 6.2% last year to $569 billion, according to a Gartner study issued last week. In another study, Global Insight found that spending on offshore software development and services grew at a compound yearly rate of 32% between 1998 and 2003, when sales reached $10 billion.

Software developed offshore costs 40% to 60% less than domestic development, encouraging more use of custom apps over packaged software, says Morgan Stanley analyst Armon Bartur. "Application development is becoming so low-cost that users can move away from off-the-shelf software."

Check out our Outsourcing Pipeline.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
InformationWeek Is Getting an Upgrade!

Find out more about our plans to improve the look, functionality, and performance of the InformationWeek site in the coming months.

Pandemic Responses Make Room for More Data Opportunities
Jessica Davis, Senior Editor, Enterprise Apps,  5/4/2021
10 Things Your Artificial Intelligence Initiative Needs to Succeed
Lisa Morgan, Freelance Writer,  4/20/2021
Transformation, Disruption, and Gender Diversity in Tech
Joao-Pierre S. Ruth, Senior Writer,  5/6/2021
White Papers
Register for InformationWeek Newsletters
Current Issue
Planning Your Digital Transformation Roadmap
Download this report to learn about the latest technologies and best practices or ensuring a successful transition from outdated business transformation tactics.
Flash Poll