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IT spending set to rise in 2004


The latest e-skills report gives a number of positive indicators as to the health of the ICT market, not least of which is the fact that demand for staff has stabilised.

The report, which collates various sources of data, reveals that analyst firms indicate IT spending is set to rise next year, and the areas in which that increased spend will be focussed:


Key data presented shows:

▪ Business/labour market statistics suggest an overall improvement in the market

▪ A definite improvement in the market for ICT shares and a stable, if not declining incidence of company closures

▪ ICT exports are up and private sector investment remains stable

▪ In the UK, demand is consistent for ICT staff beyond the industry itself

▪ Demand for technical skill sets, particularly .NET and C#, is taking off

▪ A number of analyst firms suggest IT spending is set to rise in 2004: AMR Research – by 2%; Ovum – by 2-3%; Gartner – expects figures to return to normal after a period of underspend

▪ Areas where ICT spend will be focused are likely to surround enterprise resource planning, business intelligence, mobile working, security and supply chain management

▪ Long-term industry trends point to multi-sourcing, offshore outsourcing, business process outsourcing, and security






Oct 15, 2003

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