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IT Outsourcing Industry - Statistics & Facts

Information technology outsourcing, or ITO, involves the use of service providers for delivering IT-reliant business processes, application services, and infrastructure solutions. Outsourcing in more general terms means the contracting of portions of work to outside suppliers, usually in an effort to reduce costs. Services such as cloud computing and its sub-segments, such as Software as a Service (SaaS), are adjacent services but are considered to be part of the core service of IT outsourcing.

Market segments and size

Figures estimating the market size of IT outsourcing vary depending on how the source defines “outsourcing” and what kind of industries, services, and segments are included. Statista's Technology Market Outlook (TMO) divides the IT outsourcing industry into administration outsourcing, application outsourcing, web hosting, and other IIT outsourcing.

Spending in the overall outsourcing industry is the highest within the Americas region, followed by the EMEA and Asia Pacific regions, with the total market exceeding 130 billion U.S. dollars in revenue. Information technology outsourcing makes up the largest share of the industry, as technology and IT consulting is the most commonly type of work sold by professional services organizations.

According to the Information Services Group, when focusing on contracts with a total value of more than 25 million U.S. dollars, the annual global revenue from information technology outsourcing is estimated to have amounted to around 66.5 billion U.S. dollars in 2019.

Future trends in outsourcing

Cloud computing has started to take on a more prominent role in the outsourcing market, as its individual segments Infrastructure-as-a-service (IaaS), Platform-as-a-service (PaaS), and Software-as-a-Service (SaaS) have can provide some of the ITO outsourcing services more conveniently and at a lower cost. The total contract value of the global “As-a-service” market has now increased to more than 30 billion U.S. dollars annually.

The growth of automation is another trend supplementing or replacing traditional outsourcing services. More than 70 percent of organizations worldwide expect automation to increase as a service delivery model in the future, as the spending on robotic and intelligent process automation, as well as artificial intelligence business operations is set to increase to more than 30 billion U.S. dollars over the next few years.

Interesting statistics

In the following 6 chapters, you will quickly find the {amountStatistics} most important statistics relating to "IT Outsourcing Industry".

IT outsourcing

Dossier on the topic

All important statistics are prepared by our experts – available for direct download as PPT & PDF!

Important key figures

The most important key figures provide you with a compact summary of the topic of "IT Outsourcing Industry" and take you straight to the corresponding statistics.

IT services companies

Cloud services


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