IT Outsourcing - Greece

Greece

The IT Outsourcing market in Greece is expected to witness significant growth in the coming years.
According to projections, the revenue in this market is set to reach US$353.20m by 2024.
This growth is further expected to continue with an annual growth rate (CAGR 2024-2029) of 5.60%, resulting in a market volume of US$463.80m by 2029.
When it comes to the average Spend per Employee in the IT Outsourcing market, in Greece is projected to reach US$73.14 in 2024.
This indicates a substantial investment in the sector, showcasing the country's commitment to driving technological advancements and innovation.
In a global comparison, it is worth noting that United States is expected to generate the highest revenue in the IT Outsourcing market, with a projected amount of US$197.30bn in 2024.
This highlights the dominant position of the United States in the industry, but also presents an opportunity for Greece to tap into this lucrative market and enhance its competitive edge.
Overall, these figures demonstrate the potential for growth and development in the IT Outsourcing market in Greece.
With the right strategies and investments, the country has the opportunity to position itself as a significant player in this dynamic industry.
Greece's IT outsourcing market is experiencing steady growth fueled by a highly skilled workforce and competitive labor costs.

Key regions: Brazil, Italy, United States, China, Germany

Definition:
The IT Outsourcing market refers to the external contracting of IT functions, services, or projects instead of relying on company-owned resources. By outsourcing IT tasks (e.g., to IT suppliers or software developers), enterprises are able to focus on their core functions and save internal resources and costs (e.g., office space, maintenance, and utilities). Thus, outsourcing teams becomes a viable cost resilience strategy in an environment where companies are looking to save money more than ever.

In an IT context, these activities include IT administration, IT application, and web hosting services. Non-IT-related outsourcing services are excluded.

Structure:

IT Outsourcing contains four distinct markets that are based on different services:

Administration Outsourcing refers to the market for services associated with the external sourcing of typical IT administration tasks such as hardware supply, setup, configuration, maintenance, security, and support.
Application Outsourcing refers to the market for all IT application services in a software production context, spanning from requirement assessments to concept and design of software applications.
Web Hosting includes all types of internet hosting services that allow companies or individuals to provide access to their web page via the World Wide Web.
Other IT Outsourcing refers to aggregated revenues of the types of IT outsourcing that are not specifically mentioned in the other IT Outsourcing markets, such as infrastructure outsourcing, network outsourcing, and managed services.

Additional Information:

The IT Outsourcing market comprises revenues, revenue change, average spend per employee, and revenues of the outsourcing types. Market values represent revenues that are generated by primary vendors either directly or through distribution channels at the manufacturer price level (excluding VAT). Reported market revenues include spending by enterprises (B2B) and governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed. Key players in the market include IBM, Accenture, Capgemini, NTT, and Hewlett Packard Enterprise.

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Market

Region

Region comparison

Currency

Analyst Opinion

Greece, a country known for its rich history and beautiful architecture, is also making strides in the IT outsourcing market.

Customer preferences: Greek companies are increasingly turning to IT outsourcing solutions to reduce costs and improve efficiency. With the rise of cloud computing and advancements in technology, outsourcing IT services has become a popular option for businesses of all sizes. Companies are looking for providers that can offer a wide range of services, from software development to cybersecurity.

Trends in the market: One trend in the Greek IT outsourcing market is the growing demand for nearshoring. Greek companies are looking for providers in nearby countries, such as Bulgaria and Romania, to take advantage of lower costs while still maintaining a close proximity. This allows for easier communication and collaboration between the client and provider.Another trend is the rise of specialized outsourcing services. Greek companies are looking for providers that can offer niche services, such as blockchain development or AI solutions. This allows companies to stay competitive and innovate in their respective industries.

Local special circumstances: Greece has a highly skilled IT workforce, with many professionals holding advanced degrees in computer science and engineering. This has led to the development of a strong startup culture and a growing number of tech companies in the country. However, the Greek economy has faced challenges in recent years, with high unemployment rates and a struggling banking sector. This has led to a push for outsourcing solutions to help businesses cut costs and stay competitive.

Underlying macroeconomic factors: Greece's economy has been slowly recovering since the financial crisis of 2008, with GDP growth reaching 2.2% in 2019. The country has also made efforts to improve its business environment, ranking 79th in the World Bank's Ease of Doing Business report. However, challenges remain, including a high debt-to-GDP ratio and a slow pace of reform. Despite these challenges, the IT outsourcing market in Greece is expected to continue to grow as companies look for ways to stay competitive in a rapidly changing business environment.

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.