Tech sector shows growth
GfK report highlights fastest growing areas of technology
The fastest growing areas of technology during the first half of 2006 were storage products, webcams, communication devices and smartphones, according to market research firm GfK’s biannual UK Technology Barometer.
GfK also identified convergence, the growth of wireless, the continued fall in prices and an increased retail focus in areas previously dominated by enterprise as some of the major trends in the IT market for the six months to 30 June.
However, the value of the UK IT market fell by three per cent to £3.9bn in the first half of 2006, despite a 14 per cent growth in shipment volumes.
Sara-Lynn Smith, account manager for IT at GfK, said: “The value of the UK IT market has declined because there have been significant price drops over a number of technology areas.”
Jean Littolff, business group director at GfK, said: “Falling price barriers have been the most significant trend in the first half of 2006. However, our Barometer shows that an increasing number of IT sectors are becoming commoditised.”
The report also revealed that both consumers and enterprises are turning towards devices that provide multiple solutions, such as smartphones or multifunctional printers.
Steve Muttram, managing director of distributor Portix, claimed his company is benefitting from the increase in demand for smartphones.
“Our sales are up by 200 per cent this year,” he said. “And with a host of devices about to come onto the market with 3G [third-generation] capabilities, we are looking forward to a healthy second half of the year.
“There are a lot of value-adds that VARs can offer around these devices, such as managed services. More enterprises are starting to deploy smartphones because the converged devices are so competent in what they do.”
Gary Duke, sales director at Lan2Lan, said: “We are seeing a massive increase in projects that require converged mobile services. Gone are the days of edu cating clients about the wireless world: it is a world that most understand now. Nearly every organisation we speak to has a mobile project requirement.”