Swedish outsourcing market to grow 7.4% in 2005

According to IDC, there was a fall in the number of large IT outsourcing deals in Sweden in 2004. Market growth was 12% in 2003 and around 10.5% in 2004, but this is forecast to drop to 7.4% in 2005, with a particular slowdown in IS outsourcing growth. Average annual growth is expected to be 8% between 2003 and 2008. IBM and HP recorded strong growth in the past year, as the market continues to consolidate. The three largest vendors in 2003 (IBM, WM-data, and TietoEnator) accounted for 31% of the market, but in 2004 the three largest vendors (IBM, HP, and WM-data) are expected to increase their market share to 41%.