The Spanish software and IT services market is tipped to return to growth in 2011, following a 1.8 per cent fall in 2010.

A study by Pierre Audoin Consultants (PAC), growth perspectives towards the end of 2010 in the market were of -2.1 per cent in IT services, and -1.9 per cent for the overall software market.

Daniel Esteves, consultant at PAC and the Spanish market specialist, said: “The restructuring of the financial sector, the organisational transformation of the large consumers of IT into global entities and the natural extension towards Latin America will be the principal engines for the macroeconomic growth of the Spanish IT market.”

The public sector had traditionally driven growth in this market, but has been impacted by the new budget with its intensive fiscal discipline, said PAC. The banking sector has seen a further decline in all its investments, although a wave of mergers and acquisitions will generate big projects for migration of Systems Integration and rationalisation of existing IT assets. The redistribution of business between various IT suppliers in the market, within different accounts, will also have an impact.

PAC forecasts a return to moderate growth as far as technology consultancy services are concerned, of 2.7 per cent, and a Systems Integration and Implementation growth of 1.7 per cent.

The software market is also forecast to grow by around 2.7 per cent towards the end of 2011, largely due to segments such as Network, System Storage and Security Management (N3SM), platforms of integration and execution, as well as collaborative tools.

The SAP services market will also remain dynamic.

2010’s success story was outsourcing services, which ended 2010 in 1.8 per cent.

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