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Australia Information Technology Report Q3 2015

92 Pages BMI Research June 17, 2015 SKU: BMI5590666

BMI View: Due to high labour costs, BMI believes Australian enterprises could be among the earlyadopters for AI applications such as IBM's Ask Watson service, which has already been trialled by ANZBank. Emerging technologies aside, the growth outlook is relatively weak in Australia. This is in part aconsequence of market maturity, meaning growth will underperform the APAC average, which is weightedto emerging markets, but there is also macroeconomic downside as BMI expects economic growth to slowover the medium term.

Headline Expenditure Projections:

Computer Hardware Sales: AUD8.185bn in 2014 to AUD8.499bn in 2015, up 3.8% in local currencyterms. Slowdown in tablet demand due to market saturation will be offset by a stabilisation in desktopand notebook sales in 2015 due to design innovation in the hybrid notebook market.

Software Sales: AUD4.728bn in 2014 to AUD4.764bn in 2015, up 0.8% in local currency terms.Security software will outperform, particularly for small and medium-sized enterprises (SMEs) andconsumers - but the effect of XP enterprise upgrades will be diminished.

IT Services Sales: AUD9.742bn in 2014 to AUD10.678bn in 2015, up 9.6% in local currency terms. ITservices will be fastest growth area of the IT market over the medium term, with cloud services the keygrowth driver as local companies try to use efficiencies enabled by the national broadband network(NBN).

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Australia Information Technology Report Q3 2015

BMI Research
June 17, 2015

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