This IDC Presentation provides a detailed analysis of the market and competitive landscape in IT services in Taiwan from July to December 2016 (2H16). It covers the market size movements and growth trends in each of the macromarkets (i.e., project oriented, outsourcing, and support and training services) as well as the key industries such as finance, manufacturing and resources, public sector, distribution and services, and infrastructure. The report also provides a market and vendor analysis of 3rd Platform technologies as the key market drivers. The competitive analysis section includes key strategies and activities of large global and local IT services providers in the market.
The data and insights within this presentation are a part of the "Asia/Pacific Semiannual Services Tracker" research, which covers 14 foundation markets across 14 Asia/Pacific countries.
Looking at the increased gross domestic product growth and exports during 2H16, it is clear that Taiwan is experiencing slow economic recovery. The exchange loss caused by the appreciation of New Taiwan dollar has made companies become more cautious about IT spending. If IT services providers can offer an attractive program, such as cost-effective or high value-added software or hardware support program, this will encourage companies to purchase.
The "one fixed day off and one flexible rest day" regulation continues to impact all verticals, especially on staff costs. To resolve this problem, many companies are evaluating the adoption of artificial intelligence, robot, and automation to replace labor to ensure that the total operational costs will not increase significantly, especially in the logistics industry as it is a labor-intensive sector.
To maintain good revenues, both global and local service providers (SPs) are trying to work with cross-industry partners to deliver new solutions or provide end-to-end solutions to the market. However, offering the solution is not enough, SPs need to help customers train talents and related skills at the same time to ensure that they can enjoy the benefits of new technologies.
Because of Taiwan's political factors, the government and banks have often suffered from the threats of hacking, distributed denial of service, and ransomware just like many businesses. In view of the transformation and digitalization trends, security-related service is their major concern, and there is increasing interests to implement proven security solutions.
IBM, International Integrated Systems Inc., SYSCOM COMPUTER ENGINEERING CO., TATUNG SYSTEM TECHNOLOGIES INC., Unisys Corporation, Trade-Van Information Services Co., Hewlett Packard Enterprise, Chunghwa Telecom Co., Ltd, STARK TECHNOLOGY, INC., Acer Inc., SYSTEX Corporation, MiTAC Inc.
Application development services, Application management, Hosted application management, Hosting infrastructure services, IT consulting services, IT education and training, IT maintenance and support, Network and desktop outsourcing services, Systems integration services