UAE market for outsourced IT services growing
The market for outsourced IT services in the UAE is expected to hit $170.5 million in 2010 from the $81.27 million recorded in 2006, according to the latest IDC reports, cited by WAM.
According to IDC reports, the UAE's IT market began experiencing unprecedented growth in 2005 and this led to the IT services market accounting for a total value of $413.73 million. The data revealed that the continued economic growth in the country and a number of IT and general development initiatives by the UAE Government has increased the need for IT services.
Outsourcing accounted for 15.3% of the total IT services market in 2005 and by the year 2010, the market is set to comprise 22.4% of the local IT market's earnings. Pointing out the factors that have led to a surge in outsourcing in the UAE, Tapas Roy, Chief Operating Officer, Raqmiyat said : ''The drivers of outsourcing make business sense in the UAE as they have done elsewhere in the world. Businesses in the UAE will increasingly outsource to remain competitive.
''Again, the traditional triggers of increasing costs, flexibility in the management of resources, user satisfaction and reduction in cycle times have contributed to this trend," he added.
Added to these, he went on, are factors such as leveraging the provider's extensive investments in technology, methodologies and people, and reducing the burden of managing IT resources while retaining control of strategic decision making.
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