BMI View: We expect the IT market will increase to a value of MYR16.9bn in 2013, up 6.8% from 2012, with growth fuelled by a supportive economic environment and government policy. One notable downside is the slower than expected sales of desktop and notebooks to consumers in Q113 as consumers increasingly opt for tablets. Sales of tablets are helping to compensate for the slowdown and we believe lower priced u ltrabooks and hybrids/convertibles, as well as new devices using Intel 's Haswell chips, will boost sales later in 2013 and into 2014 , thereby capitalis ing on the strong consumption story in Malaysia. I n the enterprise market growth will be slightly slower, with corporate customers more hesitant as a result of ongoing global economic uncertainty. However , there will be some areas of strong growth , including security software and services, as well as outsourcing and cloud computing.
Headline Expenditure Projections
Computer Hardware Sales: MYR8.3bn in 2012 to MYR8.8bn in 2013, +4.8% in local currency terms. Sales of tablets will ensure volume growth continues, but with consumers opting for low priced tablets, increases in market value will fail to keep pace.
Software Sales: MYR2.6bn in 2012 to MYR2.9bn in 2013, +10.1% in local currency terms. Although piracy remains a drag on consumer software sales, SME spending on enterprise resource planning (ERP) and customer relationship management (CRM) is growing, while larger enterprises are deploying increasingly complex solutions.
IT Services Sales: MYR4.9bn in 2012 to MYR5.4bn in 2013, +8.2% in local currency terms. IT services is expected be the fastest growing segment of the market, with enterprise spending on outsourcing, cloud computing and security services driving demand growth.
Key Trends And Developments
The popularity of tablets is having a major impact on the Malaysian hardware market, although shipments of desktops are not in decline as in more developed markets, with PC...
The Malaysia 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 Malaysia 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 Malaysia.
- Benchmark BMI's independent IT Industry forecasts for Malaysia to test other views - a key input for successful budgetary and strategic business planning in the Malaysian IT market.
- Target business opportunities and risks in Malaysia's IT sector through our reviews of latest industry trends, regulatory changes, and major deals, projects and investments in Malaysia.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
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-2017 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-2017 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.