IDC Puts A Rider On Tech Recovery

Bangalore: | Updated: Jul 26 2002, 05:30am hrs
There’s some good and some bad news for the IT industry.

First the good news: The rebound in the infotech industry seems evident and people have started ramping up in anticipation of forthcoming business.

However, the bad news is that the rebound is only for the few who have invested in building integrated IT-powered operations.

According to industry experts at the IDC ‘Directions 2003’ seminar, ‘breaking away from the pack’ and avoiding the herd mentality has become imperative for business survival.

As per IDC data shared at the seminar, the worldwide IT spending is expected to touch a whopping $15 trillion mark in the next nine years, as compared to a total of $6 trillion between 1960-1990.

There also seems to be some good news on the job estimates front, with the IDC 2002 report placing personal IT job opportunities worldwide at the 25 million by 2004, up from approximately 20 million in 2002.

“It is evident that the rebound in IT is starting to happen. But it will emerge in a form quite different from the earlier boom time. The industry has certainty made the transition to the next wave,” said IDC India managing director Pradeep Gupta.

IDC Asia-Pac vice president computing products and Internet Dane Anderson also said that e-business in particular was expected to be at the heart of the market rebound and Web-related integration and collaboration is expected to be the key to success during the revival.

Going by the numbers presented by IDC, India is expected to see e-commerce worth $55 billion by 2006, with close to 48 million Internet users thereby making way for a critical mass of enterprise and consumer users who are comfortable about interacting with the Internet.

“Internet-related spending by corporations is expected to increase from 17 per cent to almost 27 per cent by 2005. And by end-2001, 10 per cent of the global population is expected to embrace the Internet for different kinds of use.

Also corporate investments in the areas like enterprise resource management, system infrastructure, collaborative KM, B2B/CRM/B2C/SCM, business intelligence and industry specific spends are going strong,” said Mr Anderson.