Worldwide IT and business services revenue is expected to grow at 5.7 percent to $1.2 trillion in 2023 from $1.13 trillion in 2022, according to the International Data Corporation (IDC).
IDC has raised the growth projection despite a weak economic outlook largely because of IT vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and, to some extent, inflation impacts, IDC report said.
Worldwide IT and business services revenue rose 6.7 percent in 2022. After strong bounce-backs in 2021 and 2022, IDC expects the market to cool down moderately to the 5.5 percent-5.7 percent range for the next five years.
“The expected slowdown in 2023 and 2024 can be felt in the recent cooling in hiring in global delivery hubs, such as India,” said Xiao-Fei Zhang, program director, IDC Worldwide Services Tracker. “Vendors’ reported attrition rates are also trending down.”
