The sales projections for the current financial year for the IT industry are more reminiscent of the single-digit revenue growth registered in the pre-pandemic years.
“Overall, we see the industry slowing but not contracting. The larger cost-saving deals will go some way to offset the decline in discretionary spending but will not be able to completely counter-balance it. We see a future of slower growth and increased pricing pressure, with more legacy (business) moving offshore, and an increase in nearshoring. A few less profitable and slower growth quarters are on the anvil, which will accelerate the shift into the new mature digital market,” said Peter Bendor- Samuel, CEO of Everest Group.