Europe IT Spending Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report 2025-2034
Description
The Europe IT spending market size reached a value of more than USD 1100.75 Billion in 2024. The market is projected to rise at a CAGR of 8.10% between 2025 and 2034, reaching a value of USD 2398.53 Billion by 2034.
Europe IT Spending Market Trends
IT spending refers to the amount of money spent by a company or organization on information technology services and infrastructure. It comprises spending on hardware, software, employee, outsourcing, and loss recovery. IT services enable organizations to manage and optimize data and communication to support the workflow.
Growing Transitional from Traditional Systems
Companies in Europe are developing their IT infrastructure rapidly to improve security and data services and implement automation to streamline workflow.
Government Organizations Increasing their IT Budget
Government agencies are focusing on the development of cybersecurity to secure data as cases of data theft are increasing. Especially since the beginning of the Russia-Ukraine war, countries are putting extra emphasis on data security.
Increasing Adoption of Cloud Computing
The growth of the Europe IT market is propelled by the technological advancements in cloud computing to store and access data from anywhere and breakthroughs to help company operations.
Europe IT Spending Market Opportunities
Increasing AI and ML Integration
Companies are providing services with advanced AI and machine learning technology to help organisations enable automation for certain operations. The demand for AI has been increasing significantly and it is expected to propel the growth of the market development.
Increasing Coverage of 5G Network
The 5G technology enables faster data transfer and high internet speed. Countries are increasing their focus on the expansion of 5G network coverage, and this can provide companies with new growth opportunities.
Lack of Trained Professionals can Impede the Market Development
The skill gap among professionals can be a major setback for the development of the market. Companies require skilled professionals to develop and manage advanced information technologies.
Europe IT Spending Market Segmentation
The EMR’s report titled “Europe IT Spending Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:
Market Breakup by Types
Market Share by Type
Based on types, the market can be segmented into data centre systems, enterprise software, enterprise IT services, devices, and communications services.. Among these segments, data centre systems are expected to hold a major share of the market with the increasing adoption of cloud computing. Large corporations are investing in the development of data centre infrastructure .
The market is expected to develop significantly with the continuously developing cloud service market in the region.
Enterprise software is computer applications that are developed to assist big companies and corporations with various operations such as data analysis, sales and marketing, and management, among others. It is expected to experience significant growth in the forecast period.
Market Share by Company Size
Based on company size, the market bifurcations include less than 300 employees, 300-2000 employees, and more than 2000 employees. Among these segments, 300-2000 employees and more than 2000 employee companies are expected to hold a significant share of the market. Medium-sized companies are increasingly adopting IT services as they expand their business. Third-party service providers are also introducing different plans suitable for smaller companies.
Large companies are increasingly investing in IT services and infrastructure to streamline their operations. It is expected to show rapid growth during the forecast period.
More Insights On
IT Spending Market
United States IT Spending Market
Europe IT Spending Market Trends
IT spending refers to the amount of money spent by a company or organization on information technology services and infrastructure. It comprises spending on hardware, software, employee, outsourcing, and loss recovery. IT services enable organizations to manage and optimize data and communication to support the workflow.
Growing Transitional from Traditional Systems
Companies in Europe are developing their IT infrastructure rapidly to improve security and data services and implement automation to streamline workflow.
Government Organizations Increasing their IT Budget
Government agencies are focusing on the development of cybersecurity to secure data as cases of data theft are increasing. Especially since the beginning of the Russia-Ukraine war, countries are putting extra emphasis on data security.
Increasing Adoption of Cloud Computing
The growth of the Europe IT market is propelled by the technological advancements in cloud computing to store and access data from anywhere and breakthroughs to help company operations.
Europe IT Spending Market Opportunities
Increasing AI and ML Integration
Companies are providing services with advanced AI and machine learning technology to help organisations enable automation for certain operations. The demand for AI has been increasing significantly and it is expected to propel the growth of the market development.
Increasing Coverage of 5G Network
The 5G technology enables faster data transfer and high internet speed. Countries are increasing their focus on the expansion of 5G network coverage, and this can provide companies with new growth opportunities.
Lack of Trained Professionals can Impede the Market Development
The skill gap among professionals can be a major setback for the development of the market. Companies require skilled professionals to develop and manage advanced information technologies.
Europe IT Spending Market Segmentation
The EMR’s report titled “Europe IT Spending Market Report and Forecast 2025-2034 offers a detailed analysis of the market based on the following segments:
Market Breakup by Types
- Data Centre Systems
- Enterprise Software
- Enterprise IT Services
- Devices
- Communications Services
- United Kingdom
- Germany
- France
- Italy
- Others
Market Share by Type
Based on types, the market can be segmented into data centre systems, enterprise software, enterprise IT services, devices, and communications services.. Among these segments, data centre systems are expected to hold a major share of the market with the increasing adoption of cloud computing. Large corporations are investing in the development of data centre infrastructure .
The market is expected to develop significantly with the continuously developing cloud service market in the region.
Enterprise software is computer applications that are developed to assist big companies and corporations with various operations such as data analysis, sales and marketing, and management, among others. It is expected to experience significant growth in the forecast period.
Market Share by Company Size
Based on company size, the market bifurcations include less than 300 employees, 300-2000 employees, and more than 2000 employees. Among these segments, 300-2000 employees and more than 2000 employee companies are expected to hold a significant share of the market. Medium-sized companies are increasingly adopting IT services as they expand their business. Third-party service providers are also introducing different plans suitable for smaller companies.
Large companies are increasingly investing in IT services and infrastructure to streamline their operations. It is expected to show rapid growth during the forecast period.
More Insights On
IT Spending Market
United States IT Spending Market
Table of Contents
127 Pages
- 1 Executive Summary
- 1.1 Market Size 2024-2025
- 1.2 Market Growth 2025(F)-2034(F)
- 1.3 Key Demand Drivers
- 1.4 Key Players and Competitive Structure
- 1.5 Industry Best Practices
- 1.6 Recent Trends and Developments
- 1.7 Industry Outlook
- 2 Market Overview and Stakeholder Insights
- 2.1 Market Trends
- 2.2 Key Verticals
- 2.3 Key Countries
- 2.4 Supplier Power
- 2.5 Buyer Power
- 2.6 Key Market Opportunities and Risks
- 2.7 Key Initiatives by Stakeholders
- 3 Economic Summary
- 3.1 GDP Outlook
- 3.2 GDP Per Capita Growth
- 3.3 Inflation Trends
- 3.4 Democracy Index
- 3.5 Gross Public Debt Ratios
- 3.6 Balance of Payment (BoP) Position
- 3.7 Population Outlook
- 3.8 Urbanisation Trends
- 4 Country Risk Profiles
- 4.1 Country Risk
- 4.2 Business Climate
- 5 Europe IT Spending Market Analysis
- 5.1 Key Industry Highlights
- 5.2 Europe IT Spending Historical Market (2018-2024)
- 5.3 Europe IT Spending Market Forecast (2025-2034)
- 5.4 Europe IT Spending Market by Type
- 5.4.1 Data Centre Systems
- 5.4.1.1 Historical Trend (2018-2024)
- 5.4.1.2 Forecast Trend (2025-2034)
- 5.4.1.3 Breakup by Company Size
- 5.4.1.3.1 Total Spending by Company Having Less Than 300 Employees
- 5.4.1.3.2 Total Spending by Company Having 300-2000 Employees
- 5.4.1.3.3 Total Spending by Company Having More Than 2000 Employees
- 5.4.2 Enterprise Software
- 5.4.2.1 Historical Trend (2018-2024)
- 5.4.2.2 Forecast Trend (2025-2034)
- 5.4.2.3 Breakup by Type
- 5.4.2.3.1 Business Intelligence Software
- 5.4.2.3.2 Content Management Software
- 5.4.2.3.3 Customer Relationship Mangament Software
- 5.4.2.3.4 Enterprise Resource Planning Software
- 5.4.2.3.5 Supply Chain Management Software
- 5.4.2.3.6 Others
- 5.4.2.4 Breakup by Company Size
- 5.4.2.4.1 Total Spending by Company Having Less Than 300 Employees
- 5.4.2.4.2 Total Spending by Company Having 300-2000 Employees
- 5.4.2.4.3 Total Spending by Company Having More Than 2000 Employees
- 5.4.3 Enterprise IT Services
- 5.4.3.1 Historical Trend (2018-2024)
- 5.4.3.2 Forecast Trend (2025-2034)
- 5.4.3.3 Breakup by Type
- 5.4.3.3.1 Customized Software and App development
- 5.4.3.3.2 Services Including IT consulting
- 5.4.3.3.3 Others
- 5.4.3.4 Breakup by Company Size
- 5.4.3.4.1 Total Spending by Company Having Less Than 300 Employees
- 5.4.3.4.2 Total Spending by Company Having 300-2000 Employees
- 5.4.3.4.3 Total Spending by Company Having More Than 2000 Employees
- 5.4.4 Devices
- 5.4.4.1 Historical Trend (2018-2024)
- 5.4.4.2 Forecast Trend (2025-2034)
- 5.4.4.3 Breakup by Company Size
- 5.4.4.3.1 Total Spending by Company Having Less Than 300 Employees
- 5.4.4.3.2 Total Spending by Company Having 300-2000 Employees
- 5.4.4.3.3 Total Spending by Company Having More Than 2000 Employees
- 5.4.5 Communications Services
- 5.4.5.1 Historical Trend (2018-2024)
- 5.4.5.2 Forecast Trend (2025-2034)
- 5.4.5.3 Breakup by Company Size
- 5.4.5.3.1 Total Spending by Company Having Less Than 300 Employees
- 5.4.5.3.2 Total Spending by Company Having 300-2000 Employees
- 5.4.5.3.3 Total Spending by Company Having More Than 2000 Employees
- 5.5 Europe IT Spending Market by Country
- 5.5.1 United Kingdom
- 5.5.2 Germany
- 5.5.3 France
- 5.5.4 Italy
- 5.5.5 Others
- 6 Regional Analysis
- 6.1 United Kingdom
- 6.1.1 Historical Trend (2018-2024)
- 6.1.2 Forecast Trend (2025-2034)
- 6.2 Germany
- 6.2.1 Historical Trend (2018-2024)
- 6.2.2 Forecast Trend (2025-2034)
- 6.3 France
- 6.3.1 Historical Trend (2018-2024)
- 6.3.2 Forecast Trend (2025-2034)
- 6.4 Italy
- 6.4.1 Historical Trend (2018-2024)
- 6.4.2 Forecast Trend (2025-2034)
- 7 Market Dynamics
- 7.1 SWOT Analysis
- 7.1.1 Strengths
- 7.1.2 Weaknesses
- 7.1.3 Opportunities
- 7.1.4 Threats
- 7.2 Key Indicators for Demand
- 7.3 Key Indicators for Expenditure
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