Compaq Computer Corp. wants to double revenues from its services business by the end of 2002, a market that is projected to grow to S$92.6 billion (US$53.2 billion) in Asia-Pacific by 2003.According to figures from GartnerGroup Inc., while companies in the region have reduced spending on computer hardware, they have increased their investment in IT services.
The total Asia-Pacific IT services market is projected to grow from S$32.7 billion in 1998 to S$92.6 billion by 2003, at a compound annual growth rate of 23 percent. Singapore's IT services market is expected to grow 19 percent annually to the year 2003, and projected to be worth an estimated S$5.7 billion by the same year, according to GartnerGroup.
Compaq wants to "transform from a PC company to a global IT leader", and is betting on services as one of its key market differentiators, said Pathy Pathmanaban, director for services, Compaq Asia-Pacific.
Compaq's services business, which encompasses customer and professional services, contributed 17 percent of its overall worldwide revenues last year, Pathmanaban said, adding that the company plans to double its revenues from this market by the end of 2002. Its services revenues in Singapore accounted for 27 percent of its overall sales last year, noted Ng Chee Soon, Singapore managing director, Compaq Asia.
Compaq is investing S$26.1 million into e-commerce and service activities in Asia-Pacific over the next five years, Pathmanaban said, adding that these include plans to enhance its infrastructure to beef up its e-business and service offerings.
"We are consistently investing in our services organization in terms of workforce, training, and development, as well as infrastructure, systems, and tools," said Lawrence Mok, director for customer services, Singapore, Compaq Asia. "For example, we now have a dedicated service center that offers 24-hour carry-in' operations."
"With over 150 service professionals in Singapore, Compaq, together with its partners, deliver a complete set of support services, from the basic to the most complex installation and startup, problem resolution, helpdesk, systems management, high availability, and business critical services,' Mok said.