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IT outsourcing industry 'will be borderless in seven years'

Software services
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Breaking news from ihotdesk, the home of IT outsourcing in London:
The global information and communications technology (ICT) industry could become a 'borderless state' by 2015, according to IT analyst Gartner.

Category Outsourcing
15 May 2008
The global information and communications technology (ICT) industry could become a 'borderless state' by 2015, according to IT analyst Gartner.

Experts at the firm predict governments and organisations will pay less attention to the country of origin when sourcing their software, hardware, telecommunications and IT services requirements from around the world.

Partha Iyengar, vice-president and distinguished analyst at Gartner, said that technological growth in emerging nations is removing borders in business, which will impact all companies.

"Even if you have no direct operations in China, or India or anywhere else in the emerging world, your suppliers are probably there and so are some of your partners and customers," he added.

"Organisations must learn to trade and compete with these rapidly transforming, highly organised companies, which leverage low-cost, highly skilled labour sources."

He went on to say that if businesses are unable to do this, they will be at a significant competitive disadvantage.

This week, the latest European Information Technology Observatory report released in Brussels suggested IT, telecommunications and digital consumer electronics markets in Europe are set to grow by three per cent to 761 billion euros (£600 billion) this year.

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