Alright – I am just shifting gears and getting back up to speed after the BIG FALL CONFERENCE last weekend in VEGAS! Here is a blog I shouda’ written on Monday 🙂
New Study Says IT Sector to Help Drive Global Economic Recovery
|Research from 52 countries forecasts the creation of 5.8 million new IT jobs worldwide and 75,000 new businesses over the next four years.|
|REDMOND, Wash. — Oct. 4, 2009 — Global IT research firm International Data Corporation (IDC) and Microsoft Corp. today released the results of global research, finding that the information technology (IT) industry will create 5.8 million new jobs and more than 75,000 new businesses over the next four years.
The expected growth rate for IT employment of 3 percent a year is more than three times the rate of growth of total employment and a strong indicator that investing in IT will contribute to economic recovery and growth.
“In this fundamental economic reset, innovative technologies will play a vital role in driving productivity gains and enabling the creation of new local businesses and highly skilled jobs that fuel economic recovery and support sustainable economic growth,” said Steve Ballmer, CEO of Microsoft. “Countries that foster innovation and invest in infrastructure, education and skills development for their citizens will have a major competitive advantage in the global marketplace.”
The IDC study, commissioned by Microsoft, investigates the contribution of IT to gross domestic product (GDP), job creation in the IT industry, employment in the software sector, formation of new companies, local IT spending, and tax revenues in 52 countries, representing 98 percent of total worldwide IT spending. The research found that Microsoft and its ecosystem of local partners, vendors and service providers are a major catalyst of local economic growth and opportunity, during both the current economic difficulties and recovery.
Summary of Key Findings About the IT Industry
“Over the past 20 years, we’ve seen transformative power in how investments in IT innovations foster economic growth,” said Robert D. Atkinson, Ph.D., founder and president of the Washington, D.C.-based Information Technology and Innovation Foundation. “Continued innovation and investment in information technology will help jump-start recovery from the current recession and will significantly contribute to the growth of employment and new businesses.”
Because of its extensive partner network, the Microsoft ecosystem creates economic opportunities for companies selling products that run with or on Microsoft software, or that service and distribute Microsoft software.
“Being part of the Microsoft ecosystem is creating opportunities not only for our company, but also for other companies and individuals that we partner with to provide our service,” said Dan Merritts, vice president of marketing for Eduify. “It’s ignited a ripple effect that extends value and growth to local communities around the world.”
Additional Findings About the Software Industry
Full results of the study can be found at http://microsoft.com/economicgrowth.
About IDC Methodology
This study applies IDC’s Economic Impact Model, which assesses the IT industry’s impact on job creation, company formation, local IT spending and tax revenues in addition to assessing Microsoft’s partner ecosystem. The study’s spending figures accounted for hardware, software, services and data networking expenditures by consumers, businesses, governments and educational institutions within each country. Tax revenue figures were based on potential VAT or sales tax revenues from the sale of hardware, software or services, as well as business and personal income taxes and social taxes. IT employment included the number of people employed (full-time equivalent) in hardware, software, services or channel firms, and those individuals managing IT resources in an IT-using organization (e.g., programmers, help desk, IT managers). All data was cross-checked against published information and census data available from government sources and validated by local government officials. A report on IDC’s methodology is available at http://microsoft.com/economicgrowth.
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