The IT Staffing Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021-2026) report has been added to the offering of technology industry analyst firm ResearchAndMarkets.com (Dublin, Ireland).
According to the analyst, the global IT staffing market is expected to register a CAGR of 3.66% during the forecast period (2021-2026). The new study finds that the growth of the market can be attributed to increased outsourcing of HR activities, and the emergence of technologies such as AI and IoT, which is expected to create demand for IT professionals across end-user segments.
As cited by the report's executive summary, according to the global staffing giant TEKsystems, 69% of tech companies are expected to have AI initiatives by 2020. The company also adds that at least 85% of organizations across end-user segments have digital transformation initiatives underway. This is expected to generate enormous opportunities for the market.
Meanwhile, the growing use of analytics in recruitment is expected to proliferate the need for specialized HR services. According to a recent Linkedin report, at least 92% of professionals consider analytics to be the key to recruitment in India.
The market is expected to be impacted by the outbreak of the COVID-19 pandemic in multiple ways. The report finds that a slowdown in job recruitments across the world has affected the IT industry as well.
However, the report finds that IT firms across end-user segments are migrating to cloud to continue delivering services to their clients to ensure continuity of critical operations. According to Microsoft 365, the company has seen a massive 775% increase in the use of its cloud services. This has led to a significant spike in demand for cloud and cybersecurity professionals.
Telecommunications end-user segment expected to generate considerable demand
In terms of IT staffing market trends, the report states that the telecommunications end-user segment is expected to generate considerable demand. The report finds that AI-driven analytics are helping telecom provide better services by utilizing data and machine learning techniques.
For instance, US-based AT&T is using an AI-driven analytics platform to support its maintenance procedures. The company is testing a drone to expand its LTE network coverage and to utilize the analysis of video data captured by drones for tech support and maintenance of its cell towers.
The integration of analytics with the telecom industry is expected to proliferate the need for analytics professionals further. The report notes that in September 2019, India-based Reliance Jio collaborated with US-based Guavus to deploy AI-based solutions for real-time customer experience analytics. The company also plans to automate network troubleshooting like other players in the industry. This is expected further to expand the avenues of IT applications in telecommunications.
Notably, the study finds that according to an Ericsson and GSA survey, the rapid 5G deployment led to 13 billion subscriptions expected by the end of 2019. This trend is expected further to generate a need for IT professionals in this vertical.
Asia-Pacific expected to be fastest growing market
Research and Markets states that Asia-Pacific continues to be the leading IT services market in the world. The new report states that companies in the region continue to invest in new resources that have "the right skill sets."
The study finds that hiring at the top four IT companies (Tata Consulting Services, Infosys, Wipro, and HCL Technologies) of India in 2019 hit an eight-year high of 78,500. The continually increasing need for proper resources across the region is expected to create significant opportunities for the market studied.
Meanwhile, the report notes that the Government of China has unveiled a plan to foster research in AI and become a market leader in such technologies by 2030. The Chinese Ministry of Education also plans to 50 AI research centers by 2020. This is expected to create huge demand for analytics professionals in the country.
For its part, the Japanese government has announced its national Big Data strategies. Japan's Integrated ICT Strategy for 2020 has an aim to develop the country's national IT strategy anew, with open public data as its core during 2013-2020, in order to promote Japan as the country with the world's highest standards in the extensive use of data analytics in the information technology industry. Such initiatives are expected to further augment market expansion.
Research and Markets states that the IT staffing market is a fragmented market. Several players are operating in the space, serving the needs of various end-user segments. The report finds that the growth of opportunities offered by the market continues to attract new players across geographies.
Characteristic of recent developments in the market is this example: In November 2019, Toptal announced the launch of its Staffing.com website to facilitate conversations regarding technologies that increase the efficiency of IT staffing, growth of remote work, and the future of procurement and staffing at large enterprises.