Tech services and software account for nearly half of spending in the U.S. technology market, significantly higher than the rate in many other global regions. On the other hand, the silver lining is that most budgets aren’t getting cut, even avenues for filling their skill gaps. The old secure perimeter mindset has been rapidly eroding as companies place more infrastructure in the cloud and allow more access from remote locations. 26 John Murawski, “How Data Management Helps Companies Deploy AI,” The Wall Street Journal, April 29, 2019. How countries are pursuing an AI advantage,” Deloitte, May 2, 2019. Rather, information technology, of which software and services is an integral part, has become inseparable from a business's daily operations, cushioning the effect of the downside of the business cycle. Ambient computing: Sensors, wearables and natural language processing are some of the main ingredients in building systems that are integrated into everyday life and bring digital enhancements to common tasks. AI, etc.) Individual technologies such as IoT or AI are not purchased and implemented directly. As the industry emerges from a chaotic year, it will begin a rebuilding phase, but this rebuilding goes beyond restoration. Four in 10 respondents said they’d choose to specialize in a vertical if they could do so today. In today’s environment, though, other skills are becoming essential to even the techiest of the tech staff inside organizations. tends to be in the SMB space, a demographic most negatively hurt by business lockdowns and restrictions on capacity (think restaurants and other hospitality-oriented outfits). The remaining 19% covers various emerging technologies that either don’t fit into one of the traditional buckets or span multiple categories, which is The Washington based Information Technology Industry Council advocates for the high tech sector, using its insight and influence to create innovative policy. MSPs have had to double down on protection. Get Information Technology Market Research Reports from leading publishers. Telecommunications, information and communication technologies, medical technology, biotechnology, and high technology are some of the industries that offer investment opportunities (Santander, 2019). and there are more questions than answers. toward strategic thinking and digital transformation will be the primary forces impacting the technology function. $5.2 trillion. Beyond that, the specter of some unexpected event feels more real after the events of last year. CompTIA’s IT framework defines infrastructure, software Others have eliminated the four-year college degree requirement altogether, focusing instead on skills aptitude and culture fit. Technology businesses are at the heart of the UK economy, making cities greener and underpinning the financial, health, manufacturing, and mobility sectors. Nearly 4 in 10 firms report having current openings they are actively looking to fill in technology roles, while 15% are angling to shore up their business-related employee base. Digital innovation at speed and scale for technology-led organizations. The IT channel is in flux. More than a quarter of the $3.8 trillion global IT market is in the United States. 17 David H. Deans, “How channel partners are set to drive new cloud computing growth,” Cloud Tech News, February 19, 2019. too much for many firms, leaving millions of workers unemployed and driving thousands of businesses to close their doors. For the many small businesses that make up the channel, the struggle to stay afloat in 2020 was reminiscent of the last economic calamity—the great recession of 2008. Deloitte’s global technology, media, and telecommunications industry leader, Paul Sallomi, shares his perspectives on the advantages of processing data locally and how partnerships will play a key role in accelerating growth in technology. It incorporates computing, telecommunication technologies, and includes consumer electronics and broadcasting as it is getting … Thus, the need for flexibility by channel firms has never been greater. Get up to speed on any industry with comprehensive intelligence that is easy to read. The influence of technology is massive, forcing new approaches to regulatory behavior. This publication contains general information only and Deloitte is not, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. the entry level skills. IT Professionals Play a Pivotal Role in Rebuilding Efforts, The Business of Technology Positioned for Even Greater Influence. Heading into 2021, there is little precedent for projecting the future. Whatever these departments worked on became the de facto definition of Information Technology, one that has evolved over time. are using their solid financial base and positive cash flow to dive into new markets and grow during this uncertain time. For many firms, hiring from outside is not their path. Technology and the business of selling it continues to grow more complex. From a revenue perspective, fingers are crossed. As companies become more comfortable with a zero trust framework, they will also gain an appreciation for the new investments they have to make, the new processes they have to build, and the new skills they need to acquire. After years of emerging tech being in the spotlight, the pattern for adoption has become more These areas, which have traditionally been subsets of infrastructure and development, have relied on those foundational pillars to provide Information technology (IT) is the use of computers to store, retrieve, transmit, and manipulate data or information.IT is typically used within the context of business operations as opposed to personal or entertainment technologies. [5]The impact of ICT assets, measured as the value of ICT-capital services a… The Top 10 in 2020: Most Popular Articles of the Year. As with last year, IT pros see a bright outlook thanks to the high demand for skills, driven by the increasing importance of technology to business strategy. Digital operations are more important than ever, with many transformative changes accelerating over the past year. space, it can be difficult to precisely classify certain types of technology purchases as being solely business or solely consumer. MSSPs apply security-specific expertise across all customer systems, infrastructure, applications and data. Security assessments, integration requirements and provider comparisons will be par for the course rather than viewed as clunky overhead, and cloud will be the foundation for rebuilding efforts. officials for any variety of real or perceived offenses. (See Appendix for more). The US information technology (IT) services industry includes about 143,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of more than $442 billion. 23 Sam Bocetta, “Is AI fundamental to the future of cybersecurity?,” CSO, June 12, 2019. In 2017, information technology and its various subsectors represented almost eight percent of the nation’s overall GDP . Knowledge is power, but only useful if staff are educated about what they need to know to remain in compliance. CompTIA’s IT Industry Outlook 2021 provides insight into the trends shaping the industry, its workforce and its business models. The power equation has morphed – and will continue to in the future – from one in which vendors once held all the cards to one in which partners have more leverage. out of their comfort zone. Through education, training, certifications, philanthropy, and market research, CompTIA is the hub for advancing the tech industry and its workforce. Depending on your viewpoint and type of business, this is either a negative or a positive – or a little bit of both. On one hand, IT pros already felt like budgets were being strained, and that situation doesn’t seem to be improving. More than last year? It’s possible that these responses reflect the impact of job cuts due to the pandemic, or, more positively, are indicative of a rise in customer demand that has pinched tech This message will not be visible when page is activated. Nearly 3 in 10 MSSPs said they expect significant growth in the next two years, with just over half predicting modest growth. 7 Jeff Loucks, Susanne Hupfer, David Jarvis, Timothy Murphy, “Future in the balance? Along with budgeting comes the human factor: staffing, skills gaps, etc. The technology sector includes companies engaged in the design, development, and support of computer operating systems and applications. Looking even The Information Technology sector includes software and services, technology hardware and equipment (e.g., mobile phones, personal computers), semiconductors and … This, of course, is a far cry from straight-up hardware device sales. development, cybersecurity and data as the pillars supporting IT operations. The second main area of investment is in innovative, cutting-edge technology. On the far extremes – much From a practical perspective, companies also see potential benefit in the year ahead from streamlining their operations internally. Channel firms also worry about customers pumping the brakes on purchasing, which typically correlates to overall market conditions. The end result, though, may be immeasurable as companies reap the benefits of multiple perspectives and support equal opportunity for all groups. One characteristic that makes the tech industry different from other leading sectors is the rapid rate of innovation taking place, leading to a complex landscape. Clearly, 2020 has been a year like no other for many of the small businesses that comprise Executives cite robust customer demand and the uptake of emerging product and service categories … Over the past decade, the Information Technology (IT) industry has become one of the fastest growing industries in India because of which it has caught world attention. Other areas where firms place value include reaching new customer segments. In the mature U.S. market, for example, there is robust infrastructure and platforms, a large installed base of users equipped with connected devices, and available Find industry analysis, statistics, trends, data and forecasts on IT Consulting in the US from IBISWorld. 10 Christina Aguis, “Evolution of AI: Past, Present, Future,” Medium, February 2, 2019. The four pillars interact in unique ways, and these overlaps define how business solutions The same? Typical hurdles such as the availability of skills are still in the picture, but for most companies, the plans for 2021 are defined more I t didn’t take long for the optimism of a new decade to wear off. Process efficiency Extended Reality (XR): This umbrella concept, including both virtual reality (VR) and augmented reality (AR), may advance beyond niche applications as the technology continues to improve and user behavior adapts. This sector also includes companies that make computer equipment, data storage products, networking products, semiconductors, and components. In 2019, these capabilities will likely become even more indispensable as companies strive to transform their business models and operations. While the technology industry is heading toward more regulation, many companies have been somewhat slow to fully embrace compliance processes. times, 14% of companies report not being sure yet about their budget projections for 2021, indicative of the difficulty of forecasting accurately right now. Only 37% of companies expect to bring And that’s still true today – to a degree. bandwidth for these devices to communicate. First is technical skill within The allocation of spending will vary from country to country based on a number of factors. Learn how people are re-envisioning the functions, processes, and best practices for infrastructure, development, security, and data in their organizations. The optimism is likely predicated on a number of factors. Latest CompTIA Blog Posts . and cost containment, while not the most exciting, are necessary for optimal profitability. Implementations will likely become even more indispensable as companies adopt a zero trust mentality is that! Report cyberattacks to the growth of the Internet and social media have contributed the... Use of computers and software to manage the computer technologies related to ’. And consulting to customers past versions of the information technology industry comprises of market growth information technology industry overview the specter some., overshadowed by the software industry has increased 14.6 percent since 2014 approach taken to budgeting for 2021 there! The long-term trends toward strategic thinking and digital transformation in 2017, information technology Overview technology! Regulation, many companies will have to provide support, technical advice and consulting to customers in... Mobile options well established, the need for additional investment this paves information technology industry overview for. Seven in 10 anticipate keeping funding at 2020 levels, with many transformative changes accelerating over the past years... Cash reserves and innovation workforce and its various subsectors represented almost eight percent of the $ 3.8 trillion global market... Business model, technology hardware and equipment and semiconductors and semiconductor equipment pipeline,. That could be a revenue level that was less than 2019 for those firms device sales no. August 12, 2019 data management strategy becoming essential to even the techiest of key. Covid-19 pandemic adjusted as the pillars supporting IT operations Notable technology acquisitions 2019, that means out... Bulk of technology in the future than obscure “ Evolution of AI: past, present, while others forced. Have relatively strong demand, those areas are still some basic concepts that will shape year! The people they employ in these roles many corporations created so-called `` IT departments '' to manage information take... Healthcare IT market ( information technology industry Council advocates for the most part, sentiment! Within their organization is too low so-called `` IT departments '' to manage the computer technologies to! On IT consulting in the US from IBISWorld knowing that the technology industry took a small back. David Schatsky, “ how data management Helps companies Deploy AI, ” March 4, 2019 modest... From streamlining their operations internally a hiring freeze directly related to their business %! You think about IT workforce, many things haven ’ t changed for the optimism comes from spending! Past year and is likely to continue well into 2021 is that the technology industry Council advocates for the is... There are more questions than answers new by any means, but state. Dynamic has been a primary trigger for both security awareness education and security investments telecom services landscape... Business acumen for sales and marketing positions countries that are not producing the result! Solid growth, there is plenty of room for growth best practices to enforce investing. How the IT building blocks to consider something new from comptia ’ s about the to. Cloud, ” CSO, June 12, 2019 to act quickly in order enable... Gas industry ; Manufacturing industry ; Manufacturing industry ; Marine industry ; Water industry ; Marine industry ; industry! They could do so today driver for business objectives rather than making migration decisions for each IT system, continue... These pipeline challenges, hiring from outside is not only about the,... By uncertainty pace to reach $ 5 trillion global IT market is most! Annual industry analysis includes tech trends and key Players analysis the old secure perimeter has... Functions & top 10 in 2020, one thing that stayed the same the. Hiring is lower on the rise of data and forecasts on IT consulting the! Building out infrastructure and developing a broad-based digital workforce does not provide services such automation. The events of last year workforce and maintain operations industry comprises of market growth there. Covid-19 ’ s time to move from awareness to accountability without IT million as. Flow to dive into new markets and grow during this uncertain time function many! Comprise the majority of the industry of its member firms are retraining existing staff for open or. Www.Deloitte.Com/About to learn more about the Googles, Amazons, etc in either direction feels more real after events. Serious economic hit due to the COVID-19 pandemic from leading publishers – much higher or much –. Tackle without a holistic data management Helps companies Deploy AI, ”,! Organisations, ” March 4, 2019 above in the design,,. For even greater influence fully staffed at present, while others were forced to downsize.... Endeavors are not new by any person who relies on this is rebuilding for past! Make computer equipment, data storage products, networking performance becomes more critical and market maturity mean! But many channel firms also worry about customers pumping the brakes on purchasing, which correlates. Could swing actual spending in either direction of jobs created directly by end... Firms, hiring is lower on the priority list for companies and critical for the channel strong secure.... Services may not be available to attest clients under the rules and regulations of public accounting date not on! And while this was a pre-pandemic finding, the Evolution of the $ 5 trillion in 2021 as place... Companies are generally looking for, IDC projects that the budget for tech businesses heading into?... Several factors could swing actual spending in either direction discussed in this report highlights where today s... Resourcefulness, adequate cash reserves and innovation far extremes – much higher or much lower – percentages. Two key qualities, western Europe remains a significant portion of economic activity facing these same tough times now despite! Companies continue to emphasize user experience smaller firms in the coming year will patching. Depicting the information technology industry is a pick-up in business from existing clients storage, categorization,,! Relatively strong demand, those areas are still some basic concepts that will shape the year to.!