Asian EAI services sector set to boom by 2011

The Enterprise Application Integration (EAI) Services market will emerge as the largest opportunity in Asia Pacific̵7;s (excluding Japan) IT Services space, according to market-watcher Springboard Research.

The Enterprise Application Integration (EAI) Services market will emerge as the largest opportunity in Asia Pacific̵7;s (excluding Japan) IT Services space, according to market-watcher Springboard Research.

Its report - Asia Pacific IT Services Market and Forecast - predicts that the EAI Services market will grow from US$5bn in 2007 to US$7.8bn by 2011, registering a compounded annual growth rate (CAGR) of 11.5 per cent between 2007 and 2011.

Meanwhile, Enterprise IT outsourcing ̵1; currently the largest market opportunity ̵1; will slip to second place by 2011 with a market size of US$7.2bn, recording the lowest CAGR of all markets, at 7 per cent. By comparison, the fastest growing market segments in the region are predicted to be Application Hosting Services and Infrastructure Hosting, forecast to register CAGRs of 19 per cent, and 16.3 per cent, respectively, during the period under review.

According to the Springboard Market Attractiveness Index, which ranks 15 different IT Services markets on the basis of growth opportunities, the top 10 IT Services markets in Asia Pacific (excluding Japan) are:

  1. Enterprise application integration
  2. Infrastructure application Integration
  3. Infrastructure support services
  4. Network integration
  5. Custom application development
  6. Enterprise IT outsourcing
  7. Application hosting
  8. IT consulting
  9. Application management
  10. Infrastructure hosting services

Springboard adds that as a broad group, infrastructure services will continue to represent the largest component of the Asia Pacific IT market, with its size reaching US$31.6bn, or 57 per cent of the overall market by 2011. However, the fastest-growing group is Application Services, which measured US$13.3bn of the market - 35 per cent - in 2007, and is expected to reach US$21.2bn in 2011, or 38 per cent, registering a 12.2 per cent CAGR. Overall, Springboard forecasts the IT Services market to reach US$55.9bn by 2011.

̶0;Domination of this infrastructure services market is the target for Hewlett-Packard following its acquisition on May 13th of EDS,̶1; says Phil Hassey, vice president ̵1; services research at Springboard Research. ̶0;It will be very strongly positioned in this marketplace and will create significant discomfort across the competition in this marketplace.̶1;

Further information: www.springboardresearch.com.

Image: infrastructure services will continue to represent the largest component of the Asia Pacific IT market, with its size reaching 57 per cent of the overall market by 2011.

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