This IDC study (a translation of the Japanese report IDC #J12100101) estimates the performance of the small and medium-sized business (SMB) IT market in 2011 and presents a forecast for the 2012–2015 period based product information from vendor surveys up to November 2011 and the latest economic conditions. Data are analyzed by company size, product type, industry, region, and by prefecture.

The Japan SMB IT market showed negative growth in 2011 as the economy slowed down due to the impact of the Great Eastern Japan Earthquake, the rapid appreciation of the yen, and the economic turmoil in Europe. IT spending is expected to take a positive turn in 2012 — thanks to reconstruction needs, but many SMBs are likely to suppress IT spending as the prospect of Japan's economic recovery remains unclear. On the other hand, IT spending is expected to increase in certain industries and regions. "IT vendors should focus on these areas in order to expand businesses in the future," says Hitoshi Ichimura, market analyst, IT Spending, IDC Japan.