The Malaysian IT market was hit by the negative impact of the fall in commodity prices over 2014-2016 that resulted in ringgit depreciation and a deterioration of enterprise and consumer sentiment. This means there is some pent-up demand that will allow vendors to benefit as the economy strengthens and purchasing power growth resumes, with enterprise investment in software and services solutions expected to be the strongest area of the market.
Latest Updates And Industry Developments
Computer Hardware Sales: MYR8.3bn in 2017 to MYR8.8bn in 2021, a compound annual growth rate (CAGR) of 1.5%. Diverging trends, with weak low-end performance as use case cannibalisation hits tablet and notebook spending, but stronger demand for premium ultra-slim, hybrid and gaming notebooks.
Software Sales: MYR4.9bn in 2017 to MYR6.4bn in 2021, a CAGR of 6.8%. Key product areas will include application spending on data analytics solutions, as well as cybersecurity in response to regional criminal and state threats.