DC Consolidation, Virtualisation To Drive Global Systems Integration Mkt: Report

GIA has announced the release of a comprehensive global report on Systems Integration markets. The global market for Systems Integration is projected to reach US$339.7 billion by 2017, essentially driven by factors such as growing importance of application integration, rising demand for enterprise application software, and strong momentum towards datacentre consolidation and virtualisation. Increasing investments by governments and robust demand from developing regions, particularly Asia-Pacific, also augurs well for the market.

Businesses across the world are faced with a common challenge of getting their different applications, based on different platforms to work in tandem with each other. Growing awareness among business partners, and severe competition in the market are compelling companies to provide customers, employees and other business partners with on-demand services and information sourced from different data resources. This scenario therefore demands that the companies combine their multiple application capabilities, including legacy applications and programs, and establish an integrated set-up.

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In order to achieve this, companies need to implement efficient application integration in a quick, easy and flexible manner, thus driving up demand for integration solutions and services.

Fortunes in the market for Systems Integration (SI) are closely tied to sales of enterprise application software (EAS), as efficient deployment and implementation of EAS solutions demand efficient systems and application integration solutions/services. With companies continuing to seek and invest in new application software to ensure against loss of competitiveness amidst shifting market fundamentals, and be able to timely nail down shortages, bottlenecks, and market disruptions, the demand for EAS will only increase further over the next few years, thereby driving rich market prospects for global Systems Integration market.

Growing momentum towards Virtualisation as a means for consolidation of IT resources has and will continue to generate considerable opportunities for systems integration market. Several global organisations are currently focusing on re-engineering, consolidation and rationalisation of their datacentres and virtualisation of their infrastructure. Datacentre consolidation through virtualisation is a critical strategy in infrastructure consolidation. It is aimed at enhancing datacentre operations, virtualisation serves as a means for consolidation of IT resources, reduction in power/energy consumption and space requirements and for ensuring continuity of an organisation’s IT set-up.

Consolidation of servers, desktops, storage, applications and data as a part of this strategy will therefore drive up opportunities for IT systems integration and consulting services.
Systems integration services are also forecast to grow in the public sector encouraged largely by government investments in upgrading IT infrastructure. Implementation of enterprise resource planning (ERP) systems in government agencies, introduction of public convenience and safety solutions, such as E-governance, and modernisation programs, such as those initiated by the US Department of Health and Human Services (DHHS), will especially boost demand for systems integration over the next few years.

Collection, storage and sharing of critical information among different governing agencies demand greater degree of data security to serve as a precautionary measure against terrorist attacks. In particular, collaborative data sharing, horizontal integration and safeguarding assets and infrastructure from external risks are high priority projects. In addition, energy and environment, and public healthcare will further drive growth in the IT professional services sector including development and integration services.

As stated by the new market research report on Systems Integration, the US continues to remain the largest regional market for systems integration accounting for a majority share in the global market revenue. Keenness among government departments to adopt novel IT solutions for increasing efficiency, and subsequent rise in Federal Government investments on improved IT infrastructure, will continue to drive market prospects for systems integration services in the nation. Asia-Pacific is the fastest growing regional market. Application Development represents the most prominent service segment accounting for a majority share in total revenues generated in the global market. Integration is projected to wax at a CAGR of more than 5.15 percent over the analysis period.