IT market is benefiting from higher budgets

Global IT growth is expected to continue in 2007. Growth in the U.S. market could be above average, with EITO forecasting a potential rise of 4.7 percent. Europe, the market for information technology is also likely to show higher growth rates. Increases in IT budgets amounting to 2.4 percent are projected for Western European countries. EITO is predicting market growth of 4.4 percent for the European Union. This upswing includes the German market, for which EITO forecasts an increase of 3.4 percent. IDC even considers growth of 4.7 percent annually to €38.4 billion dollars by 2010 within the realm of possibility.

Integration is driving the software market

Companies’ plans to modernize, network and update IT systems will gather force in 2007. A survey conducted by the AMR Research consulting firm of 300 U.S. companies revealed that 71 percent of IT managers place software investment at the top of their lists. According to IDC, key customer interests are in the fields of business process outsourcing, open source, and SOA. This dovetails with the results of a Cap Gemini survey, according to which 82 percent of European and American firms are focused on SOA. The introduction of new standards opens the way to strong growth trends in the market for SOA integration products. Experts forecast average growth of 75 percent per year between 2004 and 2009.

German government champions the ICT industry

The German federal government adopted a 12-point program at the 2006 IT summit in order to better position Germany as an ICT location in the context of international competition. The government has promised to invest €1.2 billion in research and development for the ICT industry in the next three years until 2009. The governments high-tech strategy focuses on improving legal and technical conditions for the ICT industry as well as expanding innovative potential and promoting investment. Moreover, a greater commitment to e-government is intended to proclaim Germany as an attractive IT location.