Bio-IT Infrastructure Market Growth Strong Despite Recession, According to New Research From IDC
FRAMINGHAM, MA, MARCH 11, 2002 – While other IT sectors are struggling to keep their heads above water, the Bio-IT sector is gaining rapid momentum. According to analysis from IDC’s new research and advisory service, Bio-IT Infrastructure, the Bio-IT market will increase at a compound annual growth rate (CAGR) of 24% to nearly $38 billion by 2006.
Factors driving this growth include rapid acceptance of new biology methods and informatics-based drug design, according to IDC. "We see this market driving incremental revenue into IT, particularly high-performance computers and servers, storage and data and knowledge management, database technologies and tools, visualization, and application software as well as the associated services required to support these emerging organizations for at least the next 10 years," said Debra Goldfarb, group vice president, Worldwide Systems and Life Sciences research.
Highlights from IDC’s new study are as follows:
By 2006, storage will represent the largest single element of Bio-IT spending, accounting for $11.8 billion. Driving this demand for storage systems is the exponential growth in data and complex data elements emerging in the post-genomics era.
Servers will represent the second-largest element of spending across all sectors. This growth will occur as increasingly complex computational workloads emerge, as the industry moves beyond genomics into proteomics, systems biology, and docking applications.
Increased demand for gigabit or higher switched LAN infrastructure – as well as demand for data and application integration, process reengineering, architectural design and deployment, and consulting services – will result in robust growth in the networking and services sectors of 35% and 33%, respectively.
Pharmaceutical, biotechnology, and basic research are the top target markets for IT suppliers, based on infrastructure spending. These sectors are experiencing the most significant build-out of infrastructure.
All major hardware, software, and services OEMs will target the bioscience market with products and services.
IDC Research: Highlights of IDC research are available to members of the press for review.
IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and ebusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world’s leading IT suppliers, IT organizations, ebusiness companies and the financial community. Additional information can be found at www.idc.com.
IDC is a division of IDG, the world's leading IT media, research and exposition company.
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