The global tech market will grow 6 percent in 2022 and 2023 according to a new report by Forrester. The growth will be much faster than before the pandemic.
Technology stocks have boomed in 2021 because of historically low-interest rates and liquidity injections from central banks to limit the economic impact of the pandemic. Forrester reported that over the past 12 months, revenue growth for leading cloud providers exceeded 40 percent.
Meanwhile, Forrester predicts that IT services will grow 6.8 percent, much faster than before the pandemic, driven by both investments in digital and cloud technologies and the push for 2021.
For example, the demand for data privacy, software security, and data management services is creating new opportunities for consulting.
Lack of technical expertise has increased the expenses for outsourcing and consulting. However, in five years, up to two-thirds of internal development may switch to Low-code or No-code tools, which is likely to reduce technician labor costs.
On a global scale, software spending will grow by 10.5%. Multi-tenant Software-as-a-Service and single-tenant subscription models will continue to increase their share of the market. Public cloud spending will more than double by 2025.