Gartner's hot tips for medium-term

Gartner: Key Trends For Australian and Asia-Pacific IT Market 2000-2005 (Highlights)B2B E-CommerceDespite an economic slowdown in the US the Asia Pacific region's B2B e-commerce market will total$US2.4 trillion by 2005.

E-Business Services

This market will grow at a compounded annual growth rate of 50.7 per cent reaching $US8.7 billion in the next four years.

IT Services

The services market will grow from $US10 billion to $25 billion within three yeras. Strongest growth segments will be education and training with 40 per cent market share, software maintenance with 38 per cent, transaction processing and consulting at 35 per cent and IT management services at 30 per cent.

Outsourcing

By 2004, the global outsourced services market will total $US1.3 trillion. The major competitive threat to Australian outsourcers will be new players in the hosting and business process outsourcing (BPO) fields, including large 'user' businesses like banks and telcos who form market-facing companies. Services leaders will build, buy or consolidate to seize these new opportunities.

ERP

ERP is not dead. ERP technology is changing from point to point to an outward-facing, collaborative status (ERP II). Where it was long used for enterprise optimization, ERP II will lend an organisation customer and partner participation. Customers will expect vertical industry specialisation from ERP vendors.

Hardware

Slowdown in spending in Australia in 2001, while strong growth is expected in the wider region.

Industry warned to prepare for a shakeout of vendors as a result of product rationalisation.

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