IDC Evaluates the Survivors in Dynamic Internet Professional Services Market and Identifies Who Is Positioned to Win

FRAMINGHAM, MA – JUNE 27, 2001 – Of the three types of major competitors in the Internet services market that IDC has identified — emerging services firms, evolving services firms, and established services firms — established services firms may be best positioned for success. In a four-part report series titled Survivor: Competing in the Internet Services Market, IDC analyzes the competitive dynamics facing each type of firm and profiles major competitors.


"Customer requirements are changing in the Internet services market and the breadth and depth of technical skills that the established firms provide are taking precedent over the Internet savvy creative capabilities of the pure play," said Nicole Weber, senior analyst for IDC’s Internet Services research program.

In fact, IDC believes the pure play faces the biggest challenges of the three types of firms.

"Established players have longer operating histories, larger client bases, longer relationships with clients, greater brand name recognition, and significantly greater overall resources than most evolving firms," Weber said. "At the other end of the spectrum, emerging Internet services companies may offer Internet services at a lower price, forcing the pure plays to compete on price, which squeezes their margins."

Though the Internet services market will present difficulties for all types of players, IDC believes the rewards will be plentiful for those that do survive. "Lacking internal resources and sensing the inherent importance of utilizing the Internet to drive efficiencies in the organization, many companies will turn to Internet services firms to not only build ecommerce initiatives but also to integrate them with other solutions and to manage them on an ongoing basis," said Pooneh Fooladi, senior analyst with IDC’s Internet Services research program.

IDC’s report series analyzes which service providers in each group are best positioned to capitalize on the market opportunity. Among emerging Internet services firms, IDC names Experio Solution, ePresence, and eForce as the best positioned to gain market share. Sapient and Cambridge Technology Partners lead the evolving firms, and IBM Global Service and PricewaterhouseCoopers are the top of the established firms.

The four reports in IDC’s series are titled:

· Survivor: Competing in the Internet Services Market — Overview (IDC #B24675)

· Survivor: Competing in the Internet Services Market — Emerging Services Firm (IDC #B24676)

· Survivor: Competing in the Internet Services Market — Evolving Services Firms (IDC #B24677)

· Survivor: Competing in the Internet Services Market — Established Services Firms (IDC #B24678)

To view the complete table of contents for each report, visit and search by report number or title. To purchase any of these reports, contact Jim Nagle at 1-800-343-4952, extension 4549, or at

About IDC

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

IDC is a division of IDG, the world's leading IT media, research and exposition company.

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