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Global recession to hit investment in IT training market

Category :India Sub Category :National,Business,Sci-Tech
2009-07-27 00:00:00
   Views : 608

Bangalore, July 27 - Investment in IT training and software certification is set to decline by 25 percent in the Asia-Pacific region this fiscal as budgets on tech spending fall due to recession, a study by IT research and advisory firm Gartner said.

'Training budgets are among the first to be cut as part of cost containment efforts in the downturn. Several firms in the Asia-Pacific region have suspended investments in software certification and deferred expansion plans,' Gartner principal research analyst Asheesh Raina said in a statement.

At the same time, the pent-up demand for skilled engineers will force the firms in the region to scout for talent. The need for more human capital will encourage corporations to invest judiciously in training in hardware and software.

The IT training market size in the region is estimated to touch $13.6 billion in 2013 from $5.6 billion despite tremors being felt due to the meltdown.

'Though the certification and training markets played a crucial role in meeting the skills shortage in the IT industry, smaller training institutes and franchises in the region are finding it difficult to sustain in the current economic climate,' Raina pointed out, citing the study findings.

Once the economy recovered and IT budgets restored over the next 12-18 months, the study estimated that the industry in the region would require about 1.5 million skilled personnel by 2012.

Key drivers for longer term growth include enhancements in collaborative tools and technologies, backed by increasing Internet penetration to deliver online content.




Author :Indo Asian News Service



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