The UK IT industry could see a renewed interest in outsourcing services as firms seek to save capital spending and avoid costs including hardware freshes or new data centres during a possible second recession. Peter Sondegaard, head of research at IT research and advisory company Gartner predicts cloud services in EMEA to be worth €20 billion next year. Meanwhile the sector will grow at 10 times the rate of overall enterprise IT spending, he told a recent analysts' European conference in Spain.
Sondegaard e suggested that spending in EMEA on IT will drop by 1.4% this year, and grow in the region of 2.3% in 2012. Spending in Western Europe, which accounts for 80 per cent of all EMEA enterprise IT spending, will fare even worse. It’s likely to see a 1.8% reduction this year and a recovery of just 1.5% next year.
Source: The Leader