Driven by the growth in IT investment and of China's information sector, revenue for the IT Services industry has been growing at an annualized rate of 8.4% over the past five years. In 2017, revenue is expected to total $144.4 billion, up 6.8% from 2016.Although the IT services industry in China has a short history, it has been expanding quickly. However, it still only absorbs about 20.0% of China's total IT investment; in most developed countries the share is about 40.0%. That means there remains significant growth potential.The industry's outsourcing and offshoring service segment experienced the fastest growth in the past five years, bolstered by strong government support...purchase to read more.

Industry Statistics & Market Size
Revenue
$144bn
Annual Growth 12-17
8.4%
Forecast Growth 17-22
Profit
Employment
1.8m
Businesses
22,475

Industry Report - Starting a New Business Chapter

The IT Services industry provides a wide variety of services, some of which have very low entry barriers, such as equipment maintenance for small enterprises.There are many small- and medium-sized enterprises in this industry, with an employment of less than 50 people. The industry concentration level is low and it is common for small local enterprises to provide services to local clients and obtain projects outsourced by large bid-winning enterprises. These smaller firms have advantages in the lower-end markets.Competition is more intense in the high-end market. Technology is the most important factor and a large volume of capital investment is needed. Wel...purchase to read more.

Additional Insights for the IT Services Industry

IBISWorld identifies 250 Key Success Factors for a business.The most important for the IT Services Industry are

  • Ability to provide services in diverse locations
  • Ability to attract local support
  • Ability to quickly adopt new technology
  • IBISWorld analysts also discuss how external factors such as Domestic Support Policies and Gross Private Fixed Investment - Non Residential - Equipment and Software in the IT Services industry impact industry performance..

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    What's in this report

    What is the IT Services Industry?

    The IT Services industry comprises establishments that provide information technology (IT) services to enterprises in all industries. IT services include maintenance and support services, professional services (e.g. consulting, systems integration, outsourcing, education and training) and network services.

    Industry Products
  • Maintenance and support
  • IT consulting
  • Systems integration
  • IT outsourcing
  • Education and training
  • Network services
  • Industry Activities
  • IT maintenance and support services
  • IT consulting services
  • System integration services
  • IT outsourcing services
  • IT education and training services
  • Network services for enterprises
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Domestic Support Policies
  • Gross Private Fixed Investment - Non Residential - Equipment and Software
  • Gross Government Fixed Investment - Equipment and Software - State and Local
  • Service Prices
  • Wages and Conditions - All Employees

  • Current Performance
    Competitive landscape
  • Chart: Revenue Growth

  • Industry Outlook
    IT outsourcing and offshoringNew generation IT
  • Table: IT Services Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - IT Services Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Manufacturing
  • Transport, Storage and Post
  • Wired Telecommunications
  • Mobile Telecommunications
  • Wholesale and Retail Trade
  • Financial Intermediation
  • Education

  • Key Selling Industries
  • Computer Manufacturing
  • Computer Network Equipment Manufacturing

  • Products & Services
  • Network services
  • Systems integration
  • IT outsourcing
  • IT consulting
  • Maintenance and support
  • Other
  • Education and training
  • Chart: IT Services Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Financial sector
  • Telecommunications sector
  • Government
  • Manufacturing sector
  • Transportation and logistics sectors
  • Wholesale and retail sectors
  • Other
  • Chart: Major Market Segmentation for the IT Services Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Chart: Cost Structure Benchmarking – Sector vs IT Services

  • Basis of Competition
  • Enterprise scale
  • Technical level
  • Price
  • Highly skilled employees

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the IT Services Industry

  • Industry Globalization
    Digital China Ltd., IBM Solution & Services Co., Ltd., China Hewlett-Packard Co., Ltd., Neusoft Corporation, China National Software & Service Company Limited,
  • Table: Digital China Ltd. - financial performance
  • Table: IBM Solution & Services Co., Ltd. - financial performance
  • Table: China Hewlett-Packard Co., Ltd. - financial performance
  • Table: Neusoft Corporation - financial performance
  • Table: China National Software & Service Company Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the IT Services Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the IT Services Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Wages (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Cloud Computing
  • The delivery of computing as a service rather than a product, whereby shared resources, software and information are provided to computers and other devices as a utility over the internet.
  • Offshoring
  • The relocation of a company's business process, such as manufacturing or accounting, from one country to another, whether the work is outsourced or stays within the company.
  • Outsourcing
  • To procure goods or services under contract with an outside supplier.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s IT Services market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on IT Services:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The IT Services market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on IT Services, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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