Business Monitor International


Canada Information Technology Report

Published 17 July 2014

  • 70 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
Canada Information Technology Report

BMI View:   The maturity of the Canadian IT market means that growth rates will significantly underperform emerging markets, but in terms of spending per capita Canada will continue to be one of the most lucrative markets globally.   We expect Canada's IT market to record growth of 3.2% in 2014, and forecast a CAGR of 4.1% 2014-2018. Premium consumer hardware will remain a growth area, but over the medium term the areas we identify for outperformance include enterprise adoption of cloud computing, real-time software and services and big data analytics. There is however downside to this outlook, with confidence in cloud - based solutions undermined by revelations surrounding NSA activities.

Headline Expenditure Projections

  • Computer hardware sales: CAD16.8bn in 2013 to CAD17.2bn in 2014, an increase of 2.5%. As the tablet market approaches saturation we expect growth to slow from 2014, but growing demand for hybrid notebooks could compensate. 

  • Software sales : CAD10.8bn in 2013 to CAD11.2bn in 2014, an increase of 3.7%. There is enterprise software growth potential among SMEs, as well as for advanced deployments for large enterprises. 

  • IT Services sales: CAD21.2bn in 2013 to CAD22.0bn in 2014, an increase of 3.6%. Emerging technologies such as real time enterprise services and data analytics are growing segment of the market, while cloud computing adoption is widening.

Key Trends And Developments

Despite a climate of fiscal austerity the Ontario government has continued to support the expansion of the IT industry. For example,  in April 2014 IT management and consultancy  OpenText announced it would expand and create an additional 1,200 jobs with investment of CAD120mn from the Ontario government. The public investment is supplementing the CAD2bn investment made by OpenText. Of the 1,200 jobs created 30% will be in research and development, and 10% will be reserved for youth opportunities (under 29 years of age).  BMI believes...

Table of Contents

BMI Industry View
7
IT SWOT
9
SWOT
11
Political
13
Economic
14
Industry Forecast
15
Table: IT Industry - Historical Data And Forecasts (Canada 2011-2018)
15
Broadband
19
Table: Telecoms Sector - Internet - Historical Data & Forecasts
19
Macroeconomic Forecasts
22
Table: Canada - Economic Activity
24
Industry Risk Reward Ratings
30
Table: Americas Risk/Reward Ratings, Q3 2014
32
Market Overview
33
Hardware
33
Software
39
IT Services
45
Industry Trends And Developments
50
Regulatory Development
53
Table: Regulatory Authorities
53
Competitive Landscape
55
Local
55
Table: BlackBerry Limited
55
Table: Open Text
56
International
57
Table: IBM Canada
57
Table: Microsoft Canada
58
Table: Salesforce
59
Table: Dealertrack Technologies
60
Regional Overview
61
Demographic Forecast
65
Demographic Outlook
65
Table: Canada's Population By Age Group, 1990-2020 ('000)
66
Table: Canada's Population By Age Group, 1990-2020 (% of total)
67
Table: Canada's Key Population Ratios, 1990-2020
68
Table: Canada's Rural And Urban Population, 1990-2020
68
Methodology
69
Industry Forecast Methodology
69
Sources
70
Risk/Reward Ratings Methodology
71
Table: It Risk/Reward Ratings Indicators
72
Table: Weighting Of Components
73

The Canada Information Technology Report features Business Monitor International (BMI)'s market assessment and independent forecasts covering personal computers and software; semi-conductors, memory chips, integrated circuits and general components; the internet and IT solutions. It analyses analyses regulatory changes (licensing, customs and intellectual property protection) and competitive landscapes comparing IT companies by products, sales, market share, investments, projects and expansion strategies.

BMI's Canada Information Technology Report provides industry professionals and strategists, corporate analysts, IT associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on the IT industry in Canada.

Key Benefits

  • Benchmark BMI's independent IT Industry forecasts for Canada to test other views - a key input for successful budgetary and strategic business planning in the Canadian IT market.
  • Target business opportunities and risks in Canada's IT sector through our reviews of latest industry trends, regulatory changes, and major deals, projects and investments in Canada.
  • Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).

Coverage

BMI Industry View

Summary of BMI's key industry forecasts, views and trend analysis covering IT, regulatory changes, major investments and projects and significant national and multinational company developments.

Regional Overview

Cross-border analysis of regional markets, commenting on IT penetration (PC and internet) and market growth drivers (IT market size and IT market compound growth).

Country Market Overview

Structure, size and value of the industry sectors including hardware, software and services; overview of the industry landscape and key players; assessment of the business operating environment and the latest regulatory developments and government authority.

BMI Industry Forecasts

Historic data series and forecasts to end-2018 for all key industry indicators (see list below), supported by explicit assumptions, plus analysis of key downside risks to the main forecast, including:

IT Sector: IT industry value (US$bn); IT sector contribution to GDP (%); value of hardware, software and services industry (US$mn); PC, peripherals and software imports and exports (US$mn); PC, peripherals and software sales (US$mn); number of PCs (`000); PCs/100 inhabitants; internet users (`000); internet users per 100 inhabitants; broadband subscribers (`000); broadband subscribers per 100 inhabitants.

Economy: Economic growth (%); nominal GDP (US$bn); unemployment (%); interest rates (%); exchange rate (against US$).

BMI Macroeconomic Forecast

BMI forecasts for all headline macroeconomic indicators to end-2018 including real GDP growth, inflation, fiscal balance, trade balance, current account and external debt.

Competitive Landscape

Full analysis of the competitive landscape within the hardware, software and services sectors.

Company Profiles

Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.

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Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc