Wed, Dec 19, 2012 - Page 13 News List

ICT market growth to decline: researcher

By Helen Ku  /  Staff reporter

Market researcher International Data Corp (IDC) yesterday forecast the nation’s information and communications technology (ICT) market would grow at a slower 3.9 percent next year as enterprises remain cautious on information technology spending, following an increase of 5.1 percent to NT$630 billion (US$21.69 billion) in gross value this year.

Next year’s ICT market is expected to gain support only from sustained growth in cloud computing technologies, mobile electronics devices, big data-powered IT software and services markets, IDC senior research manager Helen Chiang (江芳韻) told a forum in Taipei.

“Enterprises will continue to increase IT budget and spending next year to meet growing demand from customers,” Chiang said.

However, concerned about economic uncertainties, firms may become more cautious about investing and importing ICT and may care more about real return on investment,” she added.

Taiwan’s cloud service market, for instance, will increase by 29 percent to US$732 million next year, IDC said.

By segment, the telecommunications service market is likely to grow 4.2 percent next year as users of smartphones compatible with 3G or 4G Long Term Evolution (LTE) technologies continue to increase, while hardware shipments are to grow 3 percent, software development will increase 5.1 percent and IT services are expected to expand 5.4 percent, Chiang said.

In addition, beginning next year, there would be an increasing number of system integrators becoming agents of mobile devices to offer enterprises end-to-end solutions developed on mobile gadgets that can help firms manage businesses and boost sales, IDC said.

The researcher said that consultancies competent in risk management will also grow next year as more firms become aware of the need for data security and privacy protection.

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