Worldwide Mobile and Wireless Professional Services Market Will Increase 58.5% to $30 Billion in 2006, IDC Research Reveals

FRAMINGHAM, MA – JULY 9, 2002 – In 2001, worldwide mobile and wireless professional services spending grew to approximately $3 billion, an increase of 138.3% over the previous year. IDC expects the worldwide mobile and wireless professional services market will increase at a compound annual growth rate (CAGR) of 58.5% to reach just under $30.4 billion in 2006.

 

"The wireless industry, although not new, is still an emerging market," said Sophie Mayo, director of IDC’s Wireless and eCommerce Implementation Services research. "We are far from reaching any type of maturity, taking into account how technology is constantly evolving. The major forces at work in this ecosystem are devices, carriers, system integrators, mobile middleware, applications providers, enterprises, mobile workers, and consumers. Each party is influencing the success of the other, and interdependencies are numerous."

From a regional perspective, IDC’s research shows that the EMEA (Western and Eastern Europe, Middle East, and Africa) represents the lion's share of the forecast. The Nordic region has been a major innovator and early adopter of wireless technology, and the many wireless carriers depend on the advice of professional services firms to launch successful operations.

The Americas (North America and Latin America) is the fastest-growing region. With a CAGR of 73%, the Americas is expected to spend just under $13.3 billion in 2006 in mobile and wireless professional services.

Asia/Pacific (including Japan) is not far behind in terms of spending. Japan, with cutting-edge technology in place (both from a provisioning and devices perspective), is the largest spender in the region, followed by Australia. In Japan, areas IDC expects to be impacted by the new technology include consumer spaces such as banking, retailing, and sports. However, perhaps the biggest benefactors will be players in the enterprise segment, as companies explore new mobile commerce initiatives.

Top 10 Worldwide Mobile and Wireless Professional Services Firms

IDC ranked the top 10 worldwide mobile and wireless services firms by 2001 revenue. IBM Global Services (IGS) is by far the leading provider of mobile and wireless professional services, followed by Cap Gemini Ernst and Young (CGE&Y), Fujitsu, PwC Consulting, KPMG Consulting, and EDS.

Market Predictions and Recommendations

Key recommendations and predictions included in IDC’s new study include the following:

Services firms will drive adoption of emerging technologies.

Return on investment will remain a key pass/fail adoption test.

Wireless' value proposition will evolve from cost focus to competitive advantage.

Offering a global footprint will be a key differentiator.

Security should no longer be the convenient excuse.

Verticalization is a must.

IDC defines mobile and wireless professional services as the consulting, implementation, operations, support, and training services activities performed when extending mobile or wireless access to enterprise applications on new or existing infrastructure. In this report, IDC seeks to clarify the state of the mobile and wireless professional services market and determine where it is heading. The report includes trends, predictions, and a five-year forecast by region.

The report also includes an in-depth analysis of the U.S. mobile and wireless professional services market, providing trends and predictions. Five-year forecasts are detailed by services engagement type.

Finally, IDC makes recommendations to mobile and wireless professional services firms on how to get ready for the rebound and win in 2002 and beyond.

To purchase this document, Worldwide Mobile and Wireless Professional Services Forecast and Analysis, 2001-2006 (IDC #27275) call IDC's volume sales hotline at 508-988-7988 or email jnagle@idc.com.

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 www.idc.com.

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

 

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