FORGET any talk of slowdown or recession - software and IT services in Europe are set for several more years of solid growth.
While 1999 is predicted to be a record year for the European IT market, telecommunications growth rates will continue to fall, according to research from the European Information Technology Observatory (EITO).
This year, total growth of 8.2 per cent is expected to push the value of the combined IT and telecommunications sector in western Europe to E424 billion (#285 billion).
In services, the euro changeover, the millennium bug and across-the-board demand for IT consulting will continue to fuel growth.
Services comprise 54 per cent of Europe?s E212 billion IT spend. This will rise to 66 per cent in the next decade, says EITO managing director Bernhard Rohleder. Euro conversion will account for much of this growth, with up to E140 billion being spent on conversion by 2002.
The skills shortage of recent years - EITO?s latest figures suggest 367,000 jobs remain unfilled - is likely to continue.
For more stories see 18 March issue of Computing
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