Abstract
This IDC study (which is a translation of the Japanese report IDC #J7240107)
analyzes the situations and trends in the Japan IT services market, and
presents market forecasts of 12 services segments, forecasts of IT services
market size by IT services segments in six industry sectors as well as IT
services market size in 18 industry sectors. This study also analyzes the
market situation in 2006 and 1H07, and provides forecasts for the period
through 2011. It also includes IDC' s recommendations to service vendors.
Although the Japan IT services market will continue to grow steadily, its
long-term outlook is not that optimistic for service vendors due to various
reasons such as a decrease of large-scale projects, downsizing of projects, and
decrease or lack of IT investment areas. The pervasion of open platforms and
the technological advancement are pushing the transition of products/IT
services into commodities. In addition, user companies are seeking information
systems that match the needs of their business operations and the demand for
industry/operation-specific solutions is increasing. "Information systems are
currently changing from performance/function-oriented architecture to
operation-centered architecture. It is important for service vendors to improve
the efficiency of their infrastructure based on SOA and to create applications
that can set them apart from competitors," observes Satoshi Matsumoto, Research
Manager, IT Services, IDC Japan.