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UK IT outsourcing still buoyant thanks to mega-deals in H109

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14 July 2009 | Published by Ovum

New Ovum research highlights opportunities for IT services providers in the UK IT outsourcing market
London – The UK IT outsourcing (ITO) market continues to present opportunities for large providers at the top end of the market, according to new research from global advisory and consulting firm Ovum. However smaller and niche suppliers are facing the toughest of conditions as opportunities fall into the hands of the largest players.
Ovum’s report titled, “UK IT outsourcing: opportunities in a recession”,shows that the ten biggest UK ITO providers have boosted their total contract value (TCV) of ITO deals signed in the first six months of the year by an impressive 31%. This is due to a combination of some new megadeals entering the market (BT’s £500m contract at the National Health Service, IBM and CSC’s c£300m deals at the Government’s Identity and Passport Service, and a £685m deal for HP-EDS at insurance giant Aviva) as well as many smaller sized deals that are increasingly encompassing a broader range of services.
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Notes to editors
Related Research

“UK IT outsourcing: opportunities in a recession” is the second report in an ongoing series of short reports providing in-depth analysis of specific opportunity areas within the UK IT services market. The first report titled,“The UK systems integration market: trends and opportunities” and published in March 2009, looks at the UK systems integration market, while this second examines the opportunities for suppliers of IT outsourcing services in the UK. These reports should be read in conjunction with Ovum’s annual- “UK Market Trends” set of reports that present a headline view and market size and forecasts across the UK IT services market.

Further Information

John O’Brien, senior analyst and author of the report, is available for comment.

More information is available from the Datamonitor Group Media Team. Please contact Maria Di Martino on +44 20 7675 7529 or maria.dimartino@ovum.com.

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About Ovum

Ovum is a telecoms, IT services and software company that analyses changes, threats and opportunities ahead for our clients including small companies, Fortune 500 corporations, and governments around the world. Together, Ovum and Datamonitor provide leading European business information in the technology, information, communications and telecoms sectors.

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