Market Insights Technology IT Services IT Outsourcing

Application Outsourcing - Kazakhstan

Kazakhstan

Revenue in the Application Outsourcing market is projected to reach US$88.01m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 1.42%, resulting in a market volume of US$94.43m by 2029.
The average Spend per Employee in the Application Outsourcing market is projected to reach US$8.68 in 2024.
In global comparison, most revenue will be generated in the United States (US$42,860.00m in 2024).

Key regions: Brazil, Germany, United Kingdom, Netherlands, China

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Analyst Opinion

The Application Outsourcing market in Kazakhstan has been steadily growing in recent years, driven by various factors such as customer preferences, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Kazakhstan has a growing number of tech-savvy customers who are increasingly looking for cost-effective solutions for their business needs. As a result, there is a growing demand for Application Outsourcing services, particularly for software development, maintenance, and testing. Moreover, many Kazakhstani businesses are looking to outsource their IT needs to focus on their core competencies, which is also contributing to the growth of the market.

Trends in the market: One of the key trends in the Application Outsourcing market in Kazakhstan is the growing adoption of cloud-based solutions. This trend is driven by the need for scalability, flexibility, and cost-effectiveness, which cloud-based solutions can provide. Another trend is the increasing popularity of Agile methodologies, which are being used to develop software applications faster and more efficiently. Additionally, there is a growing interest in Artificial Intelligence (AI) and Machine Learning (ML) solutions, which are being used to automate various business processes.

Local special circumstances: Kazakhstan has a well-educated and highly skilled workforce, particularly in the field of IT. This has made the country an attractive destination for Application Outsourcing services, as businesses can tap into this talent pool to develop high-quality software applications. Moreover, the government has been actively promoting the development of the IT sector in the country, which has created a favorable environment for businesses to invest in Application Outsourcing services.

Underlying macroeconomic factors: The Application Outsourcing market in Kazakhstan is also being driven by underlying macroeconomic factors such as economic growth, political stability, and favorable business conditions. Kazakhstan has been experiencing steady economic growth in recent years, which has created a favorable environment for businesses to invest in IT services. Moreover, the government has been implementing various reforms to improve the business environment, such as simplifying procedures for starting a business and reducing bureaucracy. This has made it easier for businesses to invest in Application Outsourcing services in the country. Finally, political stability in the country has also contributed to the growth of the market, as businesses feel more confident investing in the country.

Methodology

Data coverage:

The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.