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IT spending in Asia-Pacific excluding Japan may rise 10%
New Delhi, May 02: Seeing resurrection, analyst firm International Data Corporation (IDC) has predicted a 10 per cent growth in it spending in Asia-Pacific excluding Japan during the current calender year, touching 88 billion with India and China driving the spending growth.
New Delhi, May 02: Seeing resurrection, analyst firm International Data Corporation (IDC) has predicted a 10 per cent growth in it spending in Asia-Pacific excluding Japan during the current calender year, touching 88 billion with India and China driving the spending growth.
In 2003, it spending in the region grew by 3.4 per cent in real terms over 2002. Several positive economic news, infrastructure upgrades and business oriented initiatives are driving the it demand in 2004, Piyush Singh, MD, IDC Asia-Pacific said.
There are still key markets in Asia-Pacific with high and steady growth like India and China where both private and public sector infrastructure initiatives are driving much of the it spending growth, he said. However, the spendings may not come back to the earlier high levels, he said.
Although economic recovery, increased it spending and technological improvements are underway, it is unlikely that it market growth rates will bounce back to the levels experienced in the last decade, Singh added. Delayed product replacement expenditure will now move ahead which is about 40 per cent of it budgets, upgradation and expansion of existing systems corners another 35 per cent of the budget, while strategic first time investment account for less than one quarter, he said.
Bureau Report
There are still key markets in Asia-Pacific with high and steady growth like India and China where both private and public sector infrastructure initiatives are driving much of the it spending growth, he said. However, the spendings may not come back to the earlier high levels, he said.
Although economic recovery, increased it spending and technological improvements are underway, it is unlikely that it market growth rates will bounce back to the levels experienced in the last decade, Singh added. Delayed product replacement expenditure will now move ahead which is about 40 per cent of it budgets, upgradation and expansion of existing systems corners another 35 per cent of the budget, while strategic first time investment account for less than one quarter, he said.
Bureau Report