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02 Feb 2017

IDC Australia: Top 10 IT Industry Predictions for Australia

SYDNEY, Australia, February 2nd 2017: IDC Australia announced today its top technology predictions for Australia at the IDC FutureScape event held at Hyatt Regency, Sydney and highlighted that digital transformation (DX) will attain macroeconomic scale over the next three to four years, changing the way enterprises operate and reshaping the global economy. IDC calls this as the “Dawn of the DX Economy”.

For the past 10 years IDC has been registering the rise and maturity of the 3 rd platform (cloud, big data & analytics, mobile, and social technologies) fueling the first wave of digital transformation and it has propagated in to innovation accelerators (IoT, cognitive systems, augmented & virtual reality, etc.) to further propel the DX agenda.

"With the help of 3rd Platform technologies, Australian organisations began their DX journey a few years back. Although there have been a few disruptors that embarked with a coordinated DX effort, a vast majority of it has been just pockets of excellence in the form of departmental projects or initiatives that were incorporated in an uncoordinated fashion," said Sabhari Bala, Senior Research Manager of IDC Australia. " 2016 was an inflection point for DX in Australia; IDC believes that in the next four years, DX will have a large-scale impact on organisations of all sizes."

Here's a closer look at the top ten technology predictions for Australia for 2017 and beyond which will have

#1 DX Economy: By 2020, half of the AU500 will see the majority of their business depend on their ability to create digitally enhanced products, services, and experiences.

#2 3rd Platform by Default: By 2019, 3rd Platform technologies and services will drive over 70% of IT spending, growing at twice the rate of the market.

#3 Cloud 2.0: By 2020, cloud will morph to become distributed, trusted, intelligent, industry-focused, and channel-mediated; 67% of all enterprise IT infrastructure and software spending will be for cloud-based offerings.

#4 AI Everywhere: By 2020, 40% of all digital transformation initiatives — and 100% of all effective IoT efforts — will be supported by cognitive/AI capabilities.

#5 Immersive interfaces: In 2017, 60% of consumer-facing AU500 companies will experiment with AR/VR as part of their marketing efforts.

#6 Industry Collaborative Platforms: By 2018, the number of industry collaborative clouds will increase to more than 50; by 2020, over 60% of the AU500 will be digital services suppliers through ICCs.

#7 DX Developers: By the end of 2018, over 50% of the AU500 will have dedicated digital transformation/innovation teams.

#8 DX Channel: By 2020, over 60% of cloud services providers’ revenues will be mediated by channel partners/brokers.

#9 DX Benchmarks: By 2020, all enterprises' performance will be measured by a demanding new set of DX-driven benchmarks, requiring 40–60% better business performance.

#10 Rise of the 4th Platform: By 2020, one-third of the health/life sciences and consumer products companies will begin developing the first wave of products and services that tightly integrate 3rd Platform technologies with the human body; "augmented humanity" offerings will be mainstream in the mid-2020s.

" As more and more organizations understand the value of DX and place it at the core of their business strategy, the impact it has on business growth, leadership strategies, investment priorities, and the way enterprises operate is quite drastic. This brings us to a point where digitally transformed products, services, operations, and stakeholder ecosystems will help Australian companies", says Sabhari Bala.

To learn more about other IDC FutureScape documents and webcasts on the latest technology predictions, please visit FutureScapes Series.


About IDC FutureScapes

IDC FutureScape reports are used to shape IT strategy and planning for the enterprise by providing a basic framework for evaluating IT initiatives in terms of their value to business strategy now and in the foreseeable future. IDC's FutureScapes are comprised of a set of decision imperatives designed to identify a range of pending issues that CIOs and senior technology professionals will confront within the typical 3-year business planning cycle.

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting or Follow IDC on Twitter @IDCAustralia

For further information, please contact

Sabharinath (Sabhari) Bala

Senior Research Manager

IDC Australia  

+61 2 9925 2262

Karina Alexeeva

Events and Communications Coordinator

IDC Australia

+61 2 9925 2258

For more information, contact:

Sabharinath Balasubramanian
+61 2 9925 2262