Overseas IT outsourcing market to see a slowdown – IDC

Overseas IT outsourcing

US research firm IDC estimates that the growth of the global IT outsourcing market will slowdown between 2016 and 2021 to around 8% annually. The projected growth of the market is 7% lower than the expansion the previous five-year period, according a report published by the Nikkei Asian Review. Growth in the overseas outsourcing market will slowdown because the market is already maturing, according to IDC analyst David Tapper. In the US the projected growth is just 6%. The US crackdown on visa issuance is also another factor that will drag down the growth of the market. Many US firms also are no longer convinced that their current tech contractors can keep up with the demand for services related to app development.