Infrastructure giants to rule

Smaller vendors will lose out as the European infrastructure services market evolves, according to IDC. The research shows market growth from $54bn to $92bn by 2005, with vendors under increasing pressure to perform as competition grows. Firms will rely on larger suppliers to fulfil the next generation of support.

IDC research manager Lionel Lamy said: “Only the dinosaurs will survive – although the market dynamics will call for aggressive, flexible companies, the major players will still dominate the market because the infrastructure is too vital for corporations to gamble on.”

Infrastructure is being viewed as vital for a networked economy, following countless dotcom disasters. The market will require more network consulting and integration services, software and support management services. Hardware support will take a smaller market share by 2005.