The Push For Productivity: IDC Canada Reveals Top IT Trends For 2005

TORONTO, Canada, January 26, 2005 � A recent IDC survey of Canadian executives revealed that productivity is the top priority for their organizations. PREDICTIONS05 explored how Canadian organizations will invest in applications, infrastructure and training to drive the push for productivity and become more dynamic. Among the highlights of the year ahead:

  • After surpassing the conservative growth expectations for 2004, IDC predicts that the Canadian industry will continue to grow across the board in 2005, driven by productivity. Significant gains will be realized in hardware, driven by replacements cycles and the need for both storage and networking devices. Software will experience modest growth, but it is the services industry that will witness the largest segment of growth, encouraged both by the push for productivity and the rise of business transformation outsourcing.

  • IDC Canada forecasts that wireless growth in the Canadian telecom industry will surge ahead, with the market growing by almost 10% in 2005. Non-voice wireless services such as such as Data and Internet will account for the great percentage of wireless provider revenues.

  • Solutions tailored to specific customer segments will remain on the rise. The Finance and Insurance sectors will make investments to improve management through analytical tools and will look to improve operating efficiency and security under the weight of external regulatory imperatives. Governments focus on Electronic Service Delivery will likely be eroded in favor of a holistic approach to �technology enabled government.� Security, Digital Identity and VoIP will lead infrastructure investments, while Business Intelligence, Content Management are likely to be the key solution areas. And in Healthcare, as providers are challenged to balance budgets and adequately staff facilities, significant investments will be made in the adoption of VoIP, Wireless LAN and the creation of electronic medical records. These investments are likely to reduce errors, increase transparency and reduce wait times.

  • Interest in the SMB market will grow, driven by IT services such as outsourcing and operations related services. In addition, it is expected that the SMB market will realize significant growth in the adoption of CRM, Document Management and VoIP technologies. In a recent IDC study, 20% of SMB respondents indicated their intention to acquire/pilot VoIP

  • In the consumer space, the themes of convergence, consolidation, and realignment will also define the major market shifts for 2005, with continued digitization of media, expansion of broadband options, proliferation of new converged devices, and collision and consolidation of market leaders.

IDC Canada�s PREDICTIONS05 web cast is designed to identify and highlight opportunities and the choices facing the IT industry in the year ahead. The predictions draw upon existing IDC research and are vetted through an iterative review process involving analysts from IDC Canada and around the globe.

About IDC Canada

IDC is the foremost global market intelligence and advisory firm in the information technology and telecommunications industries. IDC Canada forecasts and provides keen insight on Canadian, in addition to worldwide, IT markets and technology trends. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC’s customers comprise the world�s leading IT suppliers, IT organizations, eBusiness companies and the financial community. Additional information can be found at

IDC is a division of IDG, the world’s leading IT media, research and exposition company.