Global Green IT Services Market - by type (Software, Services), By End User Segments (Government, BFSI, IT and Telecom, Industrial, Healthcare), and Geography - Growth, Trends, and Forecasts (2018 - 2023)
The global green IT services market was valued at USD 8.30 billion in 2017, and it is projected to reach a value of USD 15.06 billion by the end of 2023, at a CAGR of 10.45% during the forecast period, (2018 - 2023). The scope of the report is limited to products offered by major players including providers of software solutions and services. The study also emphasizes on the major trends and end-users in the market, major drivers for the growth of the market. Factors such as growth of household income and the increase of urbanization activities affect the growth of the market.
Growing emphasis on reducing carbon footprints and the growing need for eco-friendly services are pushing the growth of green IT services. Companies around the world have beginning to improve efficiencies of operations. The need to reduce wastage, efficiently utilize resources and reduce carbon footprints warrants the deployment of innovative and sustainable solutions. Reducing carbon footprints and controlling energy consumption have become crucial factors in recent years.
Increasing Environmental Concerns and Growing Focus on Reducing Carbon Footprint Drive the Growth for Green IT Services.
Energy consumption remains one of the primary factors causing the growth of greenhouse gases. It is estimated that energy consumption accounts for more than 66% of global greenhouse gas emissions. Average temperatures, globally, have been increasing in the last few decades. Scientists have confirmed the onset of global warming. Increasing consumption of natural resources and increasing wastage of energy have accelerated greenhouse effects. With the surrounding environment changing at a rapid pace, countries are now working toward fighting global warming and reducing carbon footprints. IT services now play a major role in many industries and these services consume significant amounts of energy. With the growing importance of reducing carbon footprints, organizations are now turning to IT operations to provide solutions to reduce energy consumption.
Industrial End-user is Expected to Have the Highest Share Owing to Increasing Environmental Concerns
The growing automotive and manufacturing industry has a rather high penetration of IT systems, which are being utilized to manage operations. Efficient project management and sustainability programs are essential in achieving the maximum productivity. Additionally, the use of green IT services has been positively appreciated by the key players in the industry. Waste and energy management occupies a position of critical importance in the industrial segment as it is an integral part of industrial operations. The use of automation and other advanced technologies in the mining, petroleum and chemicals industry has further increased the reach of IT technologies in the industrial segment.
North America Is Expected to Have High Market Share for Green IT Services.
Niche firms with expertise in environmental regulatory compliance such as Foresite Systems, and sustainability specialists like Enablon retain strong presence in this region. The growing importance of analytics, access to content and data management will support the vendors with expertise in these areas. The Canadian Government announced plans to reduce the nation’s greenhouse gas emissions (GHGs) by 30% by 2030. Increased dependence on imported fuels and rising energy demands have prompted decision makers to introduce stringent regulations. The United States Environmental Protection Agency (EPA) proposed a greenhouse gas regulations policy called the Clean Power Plan. Major Players: IBM CORPORATION, ACCENTURE PLC, JOHNSON CONTROLS, GREEN STEP SOLUTIONS, SAP SE, SCHNEIDER ELECTRIC, ENABLE SA, IHS MARKIT LTD., VERISAE INC. ACCUVIO SUSTAINABILITY SOFTWARE, ENVIANCE INC., DAKOTA SOFTWARE, CREDIT 360 LTD., amongst others.
Key Developments in the Market