Tech sector pulls further away from recession

The tech market is showing some green shoots of recovery

More good news for the tech market emerged today, with the latest stats from IT market research firm Context reporting a two per cent year-on-year increase in business and consumer technology product sales for January.

Sales from Europe's leading distributors rose to reach €2.7bn (£2.4bn) in January 2010, reversing 11 consecutive months of negative growth, said Context.

The UK led the way in sales growth, with a 5.4 per cent increase during the period, while Germany grew four per cent, France 3.3 per cent and Italy 3.1 per cent.

Performing worst were the Nordics and Austria, with sales down 3.5 per cent and 4.4 per cent respectively in January.

"During the past year, we have seen technology distributors affected by the downturn in IT spending for both consumers and businesses alike," said Context co-founder Jeremy Davies.

"Although it is early days, with sales moving into positive growth for January 2010, we could be seeing the beginnings of a recovery in the sector."

In terms of product categories, Context found that revenue from desktop computer sales was the best performing, rising about 11 per cent year on year. Notebook PC unit sales increased 12 per cent in January compared to a year ago, but revenue grew just one per cent.

The highest-growing sector was telecoms, with sales revenue increasing a whopping 173 per cent compared to the same period a year ago.