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IT outsourcing 'set for growth'

The economic stability which is expected to be encountered during 2010 will lead to more firms using IT outsourcing, an expert has claimed.

Patrick O'Brien, senior analyst at IT industry analyst Ovum, pointed out that some firms reduced their use of outsourcing during the recession, despite expectations they would turn to the solution to cut costs.

However, he claimed that companies are now feeling more confident about the future and are more likely to incorporate IT outsourcing in their strategic decision making.

'Now businesses may well have at least settled and may have a bit more of a longer-term outlook or visibility for the year ahead,' the expert added.

Last month, Mr O'Brien predicted that IT outsourcing will become popular in the coming months, as firms attempt to increase their flexibility and reduce costs in the economic recovery.

Previous research by Ovum found that one-third of chief information officers think their budgets will increase by between one and five per cent in the coming year.
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