IT market and key drivers
Sweden is expected to be the fastest-growing market. In Finland, the outlook has somewhat improved while the slow growth of the economy will continue to affect the IT services market.
Digitalization of customers' business – with a twofold agenda of growing revenue through innovation and reducing costs by improved efficiency – continues to drive IT market growth. The majority of organizations are still in the early stages of their digital journey. Many clients already provide digitally enabled customer experiences but integration of services is at a low level. With greater maturity, companies can provide innovative services and even remake the existing markets and create new ones. Customer experience has become one of the most important investment areas while at the same time enterprises put more focus on rebuilding their back-end business processes.
To enhance business value, IT partners need to have strong industry and business insight, technology understanding and the ability to orchestrate new digital services for clients. In line with the changing requirements, SIAM (Service Integration and Management) adoption is accelerating. The SIAM market is moving from customer-managed integrations to a model where the extensive responsibility for integrations is shared by the customer and IT partners.
The cloud becomes the vital underpinning for digital transformation and customers are increasingly combining private and public cloud solutions to enable business innovation and agility in a costefficient way. It is estimated that currently around 20–25% of infrastructure services are represented by cloud, predominantly private, with public cloud as an option. Annual growth in the cloud services market is estimated to be around 30%.
Technologies such as the cloud, software robotics, artificial intelligence and blockchain will enable a new data-centric ecosystem where individuals are provided with personalized, predictive experiences. The role of current service providers in multiple industries may radically change and services provided by them may be replaced by automated computer execution, ruled by a business network driven by new vendors. New opportunities arise not only within industries but also in new ecosystems in the intersection of multiple industries, and consequently traditional industry boundaries will be blurred.