Executive summary 4 Market overview 5 Polish IT market maintains on upward path in 2014, remains among most attractive IT markets in Europe 5 ICT sector’s business climate stable in May 7 Sales revenues from computer, electronic and optical product manufacturing resume growth in 2014 7 Sold production of computer, electronic, optical products grows y/y in 2014 7 Smaller players continue to face tight competition, low profit margins 8 Value of finalized IT tenders reaches €1.6bn in 2014 9 Hardware 10 Hardware market continues on upward path in 2014 10 AB reports improving financial results in Q2 of FY 2014/2015, announces changes in business structure 11 ABC Data reports higher y/y revenues, profit in Q1/2015 11 Action to focus on gradual development of exports 12 Asbis reports lower revenues, profit in Q2/2015 12 Komputronik reports double-digit y/y advance of turnover, launches online store in Germany 12 Software and Services 12 Software, IT services segments rise y/y in 2014 12 Asseco Poland wins large IT infrastructure contract, takes over majority stake in local peer 14 Qumak reports higher revenues in 2014, wins IT infrastructure upgrade contract 14 Comarch plans employment increase, higher investments in global sales network, data centers 14 Denmark’s KMD to enter Polish market 15 Polish IT company Beyond.pl to build large data center in Poznan 15 E-commerce 15 E-commerce market maintains accelerated growth pace 15 SA’s Naspers denies rumours of planning to sell Allegro 16 Romanian online retailer eMAG to take over Polish Agito 16 Grupa Nokaut to take over owner of Sugarfree.pl, change trading name 16 Amazon announces long-term plans to develop in Poland 16
Table 1 Net sales revenues in ICT sector in 2010-2013 (PLN mn) 7 Table 2 Top 20 IT companies in Poland in 2012-2013 -Revenues from sales of IT solutions 9 Table 3 Polish ICT sector- Selected indicators in 2013-2015f 9 Table 4 Number of public tenders related to IT by scope of order in 2014 10 Table 5 Total value (PLNmn) of settled tenders by voivodeships in 2014 10 Table 6 Top 10 e-commerce websites by number of users, reach 16
Figure 1 IT market value in 2011-2014 (PLN bn, y/y) 5 Figure 2 Market demand for selected IT products in 2007-2017f (real market demand, bn 1995 $) 6 Figure 3 Market demand for selected IT services in 2007-2017f (real market demand, bn 1995 $) 6 Figure 4 ICT business climate indicators in 2011-2015 (monthly) 6 Figure 5 Sold production of computer, electronic and optical products in 2014-2015 (PLNbn, monthly) 8 Figure 6 Electronic and electric equipment manufacturing- Sold production value in 2008-2015 (PLNbn, monthly) 8 Figure 7 Hardware manufacturing - Selected indicators in 2007-2017 ($mn) 11 Figure 8 Selected computer related services - Gross output in 2007-2017 ($bn) 13 Figure 9 Selected IT services - Gross output in 2007-2017 ($bn) 13
This report covers the market developments in 2014 and the data available as of May 2015.
The Polish IT market further slowed down growth in 2014, when it increased by 2.6% y/y, and is expected to temper to around 2.4% y/y rise this year, according to market data. The outlook remains optimistic and Poland maintains among the most attractive IT markets in Europe, with growth expected in the medium run for software and services segments.
The domestic demand is recovering, propped by positive employment trends, falling prices and low interest rates, thus driving upwards sales of retail hardware, particularly tablets and notebooks. Furthermore, IT services will also benefit from steady demand from sectors such as healthcare and financial services. The enterprise and government spending is also expected to maintain robust, driven by EU-funded IT projects and information society-related initiatives.
Despite good growth prospects in the medium run, the main deterrents for the Polish IT market are the exchange rate volatility, sales seasonality, tight competition and low margins.
According to our QuERI forecasts, the real market demand for the selected IT products increased by 13.5% y/y in 2014 and is projected to further rise by 11.8% y/y and 9.6% y/y in 2015 and 2016 (in mn 1995 $). Demand for IT services is also expected to continue growing in the coming years, driven by the segments of data processing and hosting.
Polish IT market maintains on upward path in 2014, remains among most attractive IT markets in Europe
Sales revenues from computer, electronic and optical product manufacturing resume growth in 2014
Smaller players continue to face tight competition, low profit margins
AB reports improving financial results in Q2 of FY 2014/2015, announces changes in business structure
Asseco Poland wins large IT infrastructure contract, takes over majority stake in local peer
Denmark’s KMD to enter Polish market
Polish IT company Beyond.pl to build large data center in Poznan