in a Dynamic Environment - Tata Consultancy Services
in a Dynamic Environment - Tata Consultancy Services
in a Dynamic Environment - Tata Consultancy Services
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Chart 3: IT <strong>Services</strong> spends by <strong>in</strong>dustry verticals<br />
Amount <strong>in</strong> USD Million<br />
Worldwide IT services market size forecast (2008-<br />
2012) for <strong>in</strong>dustry verticals<br />
Industry/Year<br />
Bank<strong>in</strong>g and F<strong>in</strong>ancial<br />
CY 2008 CY 2012 CAGR<br />
(2008-<br />
2012)<br />
<strong>Services</strong> 137,676 165,580 6.6%<br />
Insurance 53,765 62,963 6.6%<br />
Manufactur<strong>in</strong>g 98,533 113,048 5.5%<br />
Energy 3,951 4,609 5.7%<br />
Utilities 33,714 44,225 9.9%<br />
Government 154,144 194,422 8.2%<br />
Healthcare 26,375 33,580 9.4%<br />
Hi-Tech<br />
Life Sciences and<br />
57,823 68,318 6.6%<br />
Pharmaceutical<br />
Telecom, Media and<br />
11,303 13,306 7.0%<br />
Enterta<strong>in</strong>ment 108,199 128,952 7.0%<br />
Retail<br />
Travel and<br />
58,998 71,632 7.1%<br />
Transportation 29,587 35,729 7.0%<br />
Hospitality 8,999 10,751 6.5%<br />
Others 36,721 44,049 7.3%<br />
Total<br />
Source: Gartner Feb’09<br />
819,788 991,164 7.1%<br />
NASSCOM STRATEGIC REVIEW 2009 MARKET SIZING<br />
AND FORECAST<br />
IT Industry estimates of spend<strong>in</strong>g<br />
Chart 4: IT services spends by category<br />
Source: NASSCOM Strategic Review 2009<br />
The spend<strong>in</strong>g on IT <strong>Services</strong> of USD 557 billion <strong>in</strong> CY 2008<br />
<strong>in</strong>cluded USD 211 billion on IT outsourc<strong>in</strong>g. The IT<br />
outsourc<strong>in</strong>g bus<strong>in</strong>ess grew by 7.2% over CY 2007.<br />
Chart 5: Share of key markets <strong>in</strong> global IT services<br />
spend<strong>in</strong>g <strong>in</strong> 2008<br />
IT services market CY 2008<br />
% share<br />
Growth (%)<br />
North America<br />
United States 36.0<br />
39.0<br />
4.2<br />
Lat<strong>in</strong> America 3.0 10.0<br />
Western Europe 37.6 5.0<br />
Central Europe 4.7 14.7<br />
Asia Pacific<br />
Japan 8.0<br />
15.7<br />
6.8<br />
Total 100<br />
Source: NASSCOM Strategic Review 2009<br />
Chart 6: Share of key markets <strong>in</strong> global BPO spend<strong>in</strong>g<br />
<strong>in</strong> 2008<br />
BPO market CY 2008<br />
% share<br />
Growth (%)<br />
Americas<br />
Europe, Middle East<br />
63.2 10.8<br />
and Africa 19.2 11.8<br />
Asia Pacific 17.6 15.3<br />
Total 100.0 11.9<br />
Source: NASSCOM Strategic Review 2009<br />
As per the Nasscom Strategic Review 2009, global<br />
technology spends is expected to <strong>in</strong>crease from USD 1,561<br />
billion <strong>in</strong> 2008 to USD 1,962 billion <strong>in</strong> 2012 at a CAGR of<br />
5.2%.<br />
Chart 7: Global sourc<strong>in</strong>g trends <strong>in</strong> 2008<br />
Source: NASSCOM Strategic Review 2009<br />
As per NASSCOM Strategic Review 2009 the analysis of<br />
the IT <strong>Services</strong> global sourc<strong>in</strong>g market by the level of<br />
penetration <strong>in</strong> the various components of IT services<br />
reveals that there is significant headroom for growth.<br />
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