The global IT Outsourcing market size is estimated to be $530.5 billion in 2023, and will reach $1069.3 billion by 2032, growing at a CAGR of 8.1% during the forecast period from 2024 to 2032.
This report studies the IT Outsourcing market, covering market size for segment by type (Infrastructure Outsourcing, Application Outsourcing, etc.), by application (Government, BFSI, etc.), by sales channel (Direct Channel, Distribution Channel), by player (Accenture, HCL Technologies, IBM, Tata Consultancy Services (TCS), Oracle, etc.) and by region (North America, Europe, Asia-Pacific, South America and Middle East & Africa).
IT outsourcing has become a pivotal strategy for many businesses, allowing them to leverage external expertise while focusing on core operations.
Adoption Rates:
- According to Deloitte’s Global Outsourcing Survey, around 78% of businesses globally have a positive outlook on their outsourcing partnerships, with 31% planning to increase their IT outsourcing efforts in the coming years .
Primary Reasons for Outsourcing:
- Cost savings remain a primary driver, with 59% of businesses citing it as a key reason for outsourcing IT services.
- Access to top-notch capabilities and skills is a significant factor for 57% of companies, highlighting the expertise gap that outsourcing can fill .
Service Types in Demand:
- Application development and maintenance (ADM) account for 52% of the outsourced IT services.
- Data center operations and IT infrastructure management are also significant, making up 34% of the market share .
Preferred Outsourcing Destinations:
- India remains the top choice for IT outsourcing, with over 55% of global companies outsourcing to Indian firms.
- Other popular destinations include the Philippines, China, and Eastern European countries such as Poland and Ukraine .
Satisfaction Levels:
- About 72% of companies report satisfaction with their outsourcing providers, reflecting well on the quality and reliability of services received.
- A notable 24% of businesses have switched providers due to dissatisfaction, pointing to the importance of maintaining high service standards and clear communication .
Future Trends:
- The rise of automation and artificial intelligence is expected to reshape the IT outsourcing landscape, with 45% of businesses already incorporating AI-driven solutions into their outsourced operations.
- Cloud computing continues to grow, with 64% of outsourced IT services now involving cloud-based solutions, reflecting a shift towards more scalable and flexible IT infrastructures .
Security Concerns:
- Despite the benefits, security remains a concern, with 37% of businesses citing data security and privacy risks as major challenges in outsourcing IT services.
- To mitigate these risks, 65% of companies now include stringent security measures and compliance requirements in their outsourcing contracts .
Impact of COVID-19:
- The pandemic accelerated the adoption of IT outsourcing, with 49% of businesses increasing their outsourcing activities to manage remote work transitions and ensure business continuity during disruptions .
This report provides detailed historical analysis of global market for IT Outsourcing from 2018-2023, and provides extensive market forecasts from 2024-2032 by region/country and subsectors. It covers the sales/revenue/value, gross margin, historical growth and future perspectives in the IT Outsourcing market.
Leading Players of IT Outsourcing including:
- Accenture
- HCL Technologies
- IBM
- Tata Consultancy Services (TCS)
- Oracle
- Cognizant
- Infosys
- CapGemini
- NTT Data
- DXC Technologies
- Wipro
- ATOS
- Aspire Systems
- Cigniti
- Hexaware Technologies
- HPE
- Sodexo
- Neusoft
- Inspur
- ValueCoders
- Kanda Software
Market split by Type:
- Infrastructure Outsourcing
- Application Outsourcing
- Others
Market split by Application:
- Government
- BFSI
- Telecom & IT
- Manufacturing
- Healthcare
Market split by Sales Channel:
- Direct Channel
- Distribution Channel
Market split by Region/Country:
- North America (United States and Canada)
- Europe (Germany, UK, France, Italy, Spain, and Russia, etc.)
- Asia-Pacific (China, Japan, Korea, India, Australia, and Southeast Asia, etc.)
- South America (Brazil, Mexico, and Argentina, etc.)
- Middle East & Africa (Turkey, UAE, Saudi Arabia, and South Africa, etc.)
If you have any special requirements, please let us know and we can provide you the customized report as you want.
| Report Attributes |
Report Details |
| Report Title |
IT Outsourcing Market by Player, Region, Type, Application and Sales Channel 2024-2030 |
| Historical Year |
2018 to 2022 (Data from 2010 can be provided as per availability) |
| Base Year |
2023 |
| Forecast Year |
2031 |
| Number of Pages |
120 Pages |
| Customization Available |
Yes, the report can be customized as per your need. |
Click for best price
