The IT services market will enjoy only "moderate growth" over the next five years, industry experts predicted yesterday.
According to the latest research from IDC, the worldwide IT services market will increase to $489.8bn (£312bn) at a 6.7 per cent compound annual growth rate over the five-year period ending in 2007.
But the analyst warned that continuing economic and geopolitical concerns will hold back spending in the short term.
The IDC study, Worldwide IT Services Forecast and Analysis 2002-2007, predicts four per cent growth in 2003, although it explained that much of this will occur in the second half of the year as the global market continues to be plagued by depressed economies and sluggish business profits.
"The prolonged global economic slowdown has dramatically accelerated structural changes in the IT services marketplace," said Ned May, programme manager for Worldwide Services at IDC.
"The end result is that many vendors must now scramble to remake and rebrand themselves to address the market's shifting priorities."
The research cited a lack of compelling emerging technologies to drive growth. IDC said that most IT services remain focused on either optimising prior investments or reducing costs in current IT environments.
Cotton seedling freezes to death as Chang'e-4 shuts down for the Moon's 14-day lunar night
Fortnite easily out-earns PUBG, Assassin's Creed Odyssey and Red Dead Redemption 2 in 2018
Meteor showers as a service will be visible for about 100 kilometres in all directions
Saturn's rings only formed in the past 100 million years, suggests analysis of Cassini space probe data
New findings contradict conventional belief that Saturn's rings were formed along with the planet about 4.5 billion years ago