Research carried out by Gartner has revealed that worldwide IT outsourcing (ITO) revenue is on the up, having increased by over seven per cent since 2010.
According to the research, the market’s worth has risen by 7.8 per cent from its $228.7 billion (£144 billion) level in 2010 to $246.6 billion in 2011.
The market in India was found to be the biggest contributor to the rise, Indian-based IT consultancy and service providers in the cloud market delivering the highest growth rates during 2011.
Bryan Britz, research director at Gartner, said that cloud-based technologies could have an impact on the IT outsourcing industry in the future.
"Revenue cannibalisation resulting from client adoption of industrialised, and often cloud-based, services risks muting the growth opportunities for the ITO providers that are heavily weighted in infrastructure outsourcing," he explained.
When removing India-based IT service providers, cloud-centric providers and those that made sizable acquisitions during 2011, the remaining group of large ITO providers grew by just 6.5 per cent last year.