IT services market to grow by $461Bn by 2027: Technavio report
NEW YORK, UNITED STATES — The IT professional services market is poised for significant expansion, with an estimated growth of $461.56 billion and a compound annual growth rate (CAGR) of 9.09% from 2022 to 2027.
According to market research firm Technavio, this surge is attributed to the increasing digital transformation across industries, the shift towards cloud-based services, and the rapidly growing IT sector in developing regions.
Project-oriented services lead market segmentation
The market is segmented by type, with project-oriented services expected to dominate during the forecast period. These services cater to specific IT initiatives, offering expertise, resources, and technical skills.
The segment’s growth is driven by the need for scope management, revenue management, and efficient project delivery.
North America to become a dominant force in the market
North America is projected to contribute 37% to the global market growth, with early adoption of advanced technologies in key sectors like manufacturing, retail, and financial services.
The region’s strong economies and high demand for IT services, including data processing and outsourcing, are propelling the market forward.
Skilled workforce shortage poses challenge
Despite the optimistic outlook, the market faces a significant challenge due to the shortage of skilled IT professionals. The rapid evolution of technologies like cybersecurity, data analytics, and AI has led to a gap between the skills available and those demanded by employers.
Major players strategize for expansion
Key market players, including Accenture, Amazon, and Capgemini, are employing strategies such as mergers, acquisitions, and service launches to strengthen their market presence.
These companies offer a range of IT professional services, from consulting to technology outsourcing.
