Asia IT Services Market Report 2017

The information technology services industry breaks down into software and BPO services, hardware support services and cloud services. Asia’s IT services market accounts for almost one-fourth of the global IT services market. In recent years Asia had the highest growth in the IT services market and will remain the highest in terms of market growth in the foreseeable future.

Expenditure on IT services in the region increased significantly over the past five years. According to The Economist Intelligence Unit (EIU), between 2010 and 2016 IT services spending in Asia doubled increasing from around $90 billion to over $140 billion in 2016.

Rapid growth in the IT services market in Asia is in line with the region’s rapid economic growth. Key drivers for growth include the increasing preference of global corporations to outsource their internal functions to Asia and high demand for IT services such as cloud services and software services from manufacturing and services industries in this region. Rising desktop PC, internet and mobile phone penetration rates have also boosted demand for IT services in the region.

'Cloud As A Service' was the latest trend observed in the IT services market. Many cloud service providers are offering services for storing long term data in the cloud. They are offering solutions for moving data from in-house servers to remote servers, hence eliminating issues arising due to archiving. Many companies are migrating from small, in-house facilities to mega data centers operated by large service providers. For instance, according to IDC, worldwide datacenter space is expected to increase to around 1.9 billion square feet in 2018. Going forward, the industry is expected to witness a rapid shift to cloud services.

1. Information Technology Services Market Characteristics 12
2. Asia’s Information Technology Services Market 13
2.1. Asia’s Information Technology Services Market 13
2.1.1. Asia’s Information Technology Services Market Overview 13
2.1.2. Asia Information Technology Services Historic Market, 2012- 2016 15
2.1.3. Asia Information Technology Services Forecast Market, 2016- 2020 16
2.1.4. Asia Market Size By Segment 17
Hardware Support Services 17
Software and BPO Services 17
Cloud Services 17
2.1.5. Asian Information Technology Services Market, Historic and Forecast, Split By Segment, 2012-2020 18
Cloud Services 18
Software and BPO Services 18
Hardware Support Services 18
2.2. Asia Information Technology Services Market: Country Analysis 19
2.3. China Information Technology Services Market 19
2.3.1. China Information Technology Services Market Overview 19
2.3.2. China’s Information Technology Services Historic Market, 2012- 2016 21
2.3.3. China’s Information Technology Services Forecast Market, 2016- 2020 22
2.3.4. China Market Size By Segment 23
Hardware Support Services 23
Software and BPO Services 23
Cloud Services 24
2.3.5. China’s Information Technology Services Market, Historic and Forecast, Split By Segment, 2012-2020 24
Software and BPO Services 24
Cloud Services 24
Hardware Support Services 24
2.3.6. China Per Capita Average Information Technology Services Expenditure Versus Internet Penetration, 2012-2020 25
2.3.7. China’s Information Technology Services Market Size Versus Internet Hosts, 2012-2020 26
2.4. India’s Information Technology Services Market 27
2.4.1. India’s Information Technology Services Market Overview 27
2.4.2. India’s Information Technology Services Historic Market, 2012- 2016 29
2.4.3. India Information Technology Services Forecast Market, 2016- 2020 30
2.4.4. India Market Size By Segment 31
Hardware Support Services 31
Software and BPO Services 32
Cloud Services 32
2.4.5. India Information Technology Services Market, Historic and Forecast, Split By Segment, 2012-2020 33
Cloud Services 33
Hardware Support Services 33
Software and BPO Services 33
2.4.6. India Per Capita Average Information Technology Services Expenditure Versus Internet Penetration, 2012-2020 34
2.4.7. India Information Technology Services Market Size Versus Internet Hosts, 2012-2020 35
2.5. Japan Information Technology Services Market 36
2.5.1. Japan Information Technology Services Market Overview 36
2.5.2. Japan Information Technology Services Historic Market, 2012- 2016 37
2.5.3. Japan Information Technology Services Forecast Market, 2016- 2020 39
2.5.4. Japan Market Size By Segment 40
Software and BPO Services 40
Hardware Support Services 40
Cloud Services 41
2.5.5. Japan Information Technology Services Market, Historic and Forecast, Split By Segment, 2012-2020 41
Cloud Services 41
Software and BPO Services 41
Hardware Support Services 41
2.5.6. Japan Per Capita Average Information Technology Services Expenditure Versus Internet Penetration, 2012-2020 42
2.5.7. Japan Information Technology Services Market Size Versus Internet Hosts, 2012-2020 43
3. Information Technology Services Market Global Context 44
3.1. Historic Market Growth 44
Drivers of the Market 45
Emerging Markets Growth 45
Technology Development 45
B2B & B2C Mobility 45
High Valuations of Information Technology Companies 45
Restraints on the Market 45
Multinational Operations Difficulties 45
High R&D Expenditure 45
Forecast Market Growth 46
Drivers of the Market 46
Economic Growth 46
Smart Cities 47
Government Initiatives 47
Internet of Things (IoT) 47
Digital Advertising Revenues Increasing 47
Restraints on the Market 47
Interest Rate Increases 47
Infrastructural Barriers 47
Reduction in Free Trade 48
4. Porters Five Forces Model 49
Bargaining Power of Buyers 49
Bargaining Power of Suppliers 50
Threat of New Entrants 50
Threat of Substitutes 50
Industry Competition 50
5. PESTLE Analysis 51
Political 52
Economic 52
Technological 53
Environmental 53
Social 53
Legal 54
6. Information Technology Services Market Segmentation 55
6.1. Global Segmentation 55
Hardware Support Services 56
Software and BPO Services 56
Cloud Services 56
Global Information Technology Services Market, Historic and Forecast, Split By Segment, 2012-2020 57
Cloud Services 57
Software and BPO Services 57
Hardware Support Services 57
6.2. Hardware Support Services 58
6.2.1. Market Characteristics 58
6.2.2. Market Trends And Strategies 59
Software Products Integration 59
Growing Demand For Cloud Data Recovery 59
Software Installations Automation 59
Single to Multiple Services Shift 59
6.3. Software And BPO Services 61
6.3.1. Market Characteristics 61
6.3.2. Market Trends And Strategies 61
Cloud/Software As A Service (Saas) 61
Virtualization 62
Data Analytics For Gaining Insights 62
Software Artificial Intelligence (AI) and Automation 62
Robotics In Business Process Outsourcing 62
ITIL/ISO Certifications In The IT Industry 62
6.4. Cloud Services 63
6.4.1. Market Characteristics 63
6.4.2. Market Trends And Strategies 64
Growing Demand of Hybrid Cloud 64
Faster Data Processing 64
Cloud As A Service 65
Green Data Centers 65
7. Information Technology Services Market Regional And Country Analysis 66
7.1. Global Information Technology Services Market, 2016, By Region 66
7.2. Global Information Technology Services Market, 2012- 2020, Historic and Forecast, By Region 68
7.3. Information Technology Services Market, 2016, By Country 70
7.4. Information Technology Services Market, 2012- 2020, Historic and Forecast, By Country 72
8. Global Information Technology Services Market Comparison with Macro Economic Factors 74
8.1. Information Technology Services Market Size, Percentage Of GDP, Global 74
8.2. Per Capita Average Information Technology Services Expenditure, Global 75
9. Information Technology Services Market Comparison With Macro Economic Factors Across Countries 76
9.1. Information Technology Services Market Size, Percentage Of GDP, By Country 76
9.2. Per Capita Average Information Technology Services Expenditure, By Country 77
9.3. Per Household Average Information Technology Services Expenditure, By Country 78
10. Information Technology Services Indicators Comparison 80
10.1. Internet Penetration, By Country, 2016 80
10.2. Per Capita Information Technology Services Expenditure Versus Internet Penetration, By Country, 2016 82
10.3. Internet Hosts, By Country, 2016 84
10.4. Information Technology Services Market Size Versus Internet Hosts, By Country, 2016 86
10.5. Number Of Registered Domains, By Country, 2016, Millions 88
11.1. Number Of Registered Businesses, By Country, 2016, Millions 90
11.2. Average Spending on Information Technology Services By Registered Businesses, By Country, 2016 92
12. Information Technology Services Market Competitive Landscape 94
12.1. Company Profiles 95
12.2. IBM 95
12.2.1. Overview 95
12.2.2. Products And Services 95
12.2.3. Strategy 96
12.2.4. Financial Performance 96
12.3. Accenture 97
1.1.1. Overview 97
1.1.2. Products And Services 97
1.1.3. Strategy 98
1.1.4. Financial Performance 99
12.4. HPE 100
1.1.1. Overview 100
1.1.2. Products And Services 100
1.1.3. Strategy 100
1.1.4. Financial Performance 101
12.5. Microsoft 102
1.1.1. Overview 102
1.1.2. Products And Services 102
1.1.3. Strategy 102
1.1.4. Financial Performance 103
12.6. SAP 104
1.1.1. Overview 104
1.1.2. Products And Services 104
1.1.3. Strategy 104
1.1.4. Financial Performance 105
12.7. Fujitsu 106
1.1.5. Overview 106
1.1.6. Products And Services 106
1.1.7. Strategy 106
1.1.8. Financial Performance 106
12.8. Tata Consultancy Services 107
1.1.9. Overview 107
1.1.10. Products And Services 108
1.1.11. Strategy 108
1.1.12. Financial Performance 109
12.9. Oracle 109
1.1.5. Overview 109
1.1.6. Products And Services 110
1.1.7. Strategy 110
1.1.8. Financial Performance 111
12.10. NTT Data 111
1.1.9. Overview 111
1.1.10. Products And Services 112
1.1.11. Strategy 112
1.1.12. Financial Performance 113
13. Information Technology Services Market Customer Information 114
Shared Services Survey Findings 114
Reasons For Opening a new SSC and factors for choosing SSC Location In The Future 114
Functions Performed In SSC’s 114
Cloud Computing Has A Significant Presence In The Banking Industry 114
Challenges To Cloud Technology 114
Most Of The Cloud Outages Faced Were Preventable 114
Moving More Workload To Cloud 115
European Companies Outsource More IT services 115
IT Services Budget Allocation 115
14. Key Mergers And Acquisitions In The Information Technology Services Market 116
15. Market Background: Global Information Technology Market 117
15.1. Information Technology Market Characteristics 117
15.2. Information Technology Market Historic Growth 118
Drivers of the Market 119
Technology Development 119
High Valuations on Technology Companies 119
Large Talent Pool in Low Cost Economies 119
Restraints on the Market 119
Software Piracy 119
Multinational Operations 119
15.3. Information Technology Market Forecast Growth 120
Drivers of the Market 121
Economic Growth 121
Smart Cities 121
Government Initiatives 121
Restraints on the Market 121
Impact of E-waste 121
Reduction in Free Trade 121
16. Appendix 122
16.1.1. NAICS Definitions of Industry Covered in This Report 122
16.1.2. Abbreviations 123
16.1.3. Currencies 123
16.1.4. Research Methodology 123
16.1.5. Research Inquiries 124
16.1.6. The Business Research Company 124
16.1.7. Copyright and Disclaimer 124