MainInsights & analyticsRussian IT service market: results of 2019 and forecast for 2020-2024

Russian IT service market: results of 2019 and forecast for 2020-2024

91

According to the results of the first part of Russian IT service market Russia IT Services Market 2019 Analysis and 2020-2024 Forecast, conducted by IDC, the value of the Russian IT services market in 2019 has increased by 8.0% and was amounted to 5.57 billion dollars.

Digital transformation continues to gather pace in many industries of the Russian economy and generates demand for IT services. The main factors that stimulate digital transformation are increasing competition and growth opportunities in the new markets, evolving preferences and behavior of customers and employees as well as new standards and regulatory acts. The main difficulties of digital transformation are still connected with limited budgets, lack of competencies and experience, change management and  the measurement of economic impact.

Over the past few years, the largest Russian companies have been actively developing their internal IT structures. These divisions more frequently offer expert knowledge in the foreign markets and take away a part of the business of traditional IT services suppliers, many of which are experiencing cash flow problems and are more exposed to the economic slowdown caused by COVID-19.

Coronavirus pandemic has rapidly changed the economic and business environment in the country in March 2020 and will negatively impact IT services market this year. Final consumers became more cautious, and that affected their spending on technologies and services. Some companies have paused their projects of IT infrastructure modernization, focused on improving the existing systems and started to use cloud services more often.

The Russian IT services market will experience a downturn in 2020. Under the current conditions, cloud technologies and related categories of IT services, such as software maintenance and administration hosting and hosting of infrastructure services, will be most in-demand among customers. The tough economic situation will become a deterrent for long-term system integration projects. Consulting, customization and custom software development services will be in demand among customers who are involved in digital transformation and import substitution processes. Outsourcing services will play an increasingly important role and will be less affected by the economic slowdown.

Read more
Subject:

#digitaltransformation

Companies:

#IDC

Share:

Added:08.18.2020
Latest update:
09.07.2020

Share:

Similar analytics:MORE similar analytics
Similar news:
Subscribe to get updates

By clicking the button you agree to Privacy Policy

Add your research

Unless otherwise stated, the content is available under Creative Commons BY 4.0 license

Supported by the Moscow Government