BMI View: E conomic recovery is expected to result in a slight acceleration in IT spending growth in 2015 to 4.2% . However, we caution that enterprise confidence will remain susceptible to shifts in sentiment, with a re-escalation of the eurozone crisis or the security situation in Ukraine the most prominent potential flashpoints. Under our core scenario h igher levels of business and consumer confidence will see demand growth , while deferred purchases from the previous period of uncertainty , particularly in enterprise software and IT services, will add to momentum. One area we expect to see a slowdown is in enterprise hardware demand, after sales were boosted in 2014 by the withdrawal of official support for the XP operating system. Overall, the acceleration in growth will cement the Czech IT market's status as a regional leader in Central and Eastern Europe, with a strong domestic skills base, investment by international firms, local entrepreneurship and high penetration of devices and solutions.
Headline Expenditure And Forecasts
Computer Hardware Sales: CZK28.0bn in 2014 to CZK33.2bn in 2014, an increase of 2.9% in local currency terms. Stronger consumer demand will offset a slowdown in enterprise sales after the bump in demand in 2014 when the withdrawal of Microsoft support for XP boosted enterprise upgrades.
Software Sales: CZK16.9bn in 2014 to CZK17.8bn in 2014, an increase of 5.3% in local currency terms. Demand for enterprise applications and cyber security software are growth areas, with SaaS adoption is showing strong growth.
IT Services Sales: CZK27.3bn in 2014 to CZK28.6bn in 2015, a local currency increase of 4.9%. Several public sector contracts should support a higher growth rate than 2012-2014 when fiscal austerity and contract audit squeezed spending.
Key Trends And Developments
BMI has argued since early 2013 that over the medium term the hybrid notebook has significant potential in emerging markets due to the...
The Czech Republic 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 Czech Republic 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 Czech Republic.
- Benchmark BMI's independent IT Industry forecasts for Czech Republic to test other views - a key input for successful budgetary and strategic business planning in the Czech IT market.
- Target business opportunities and risks in Czech Republic's IT sector through our reviews of latest industry trends, regulatory changes, and major deals, projects and investments in Czech Republic.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
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.
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.
Full analysis of the competitive landscape within the hardware, software and services sectors.
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.