BMI View: We expect strong growth in IT spending to continue in the Czech Republic for the duration of our medium- term forecast to 2019. A strong economic outlook, including broad growth in household incomes, koruna appreciation against the US dollar and strengthening business sentiment, will support IT market growth above the rates in much of the rest of the region. This will strengthen t he Czech Republic 's position as the leading IT market in Central and Eastern Europe in terms of per capita spending levels, the extent and sophistication of enterprise and public IT utilisation, and adoption of emerging technologies such as cloud computing and smart services. There is however downside risk , with enterprise confidence susceptible to shifts in sentiment, and a re-e scalation of the eurozone crisis, Brexit or security challenges could pose risk in the short-to-medium term .
Latest Updates & Industry Developments
Computer Hardware Sales: CZK30.9bn in 2016 to CZK35.1bn in 2019, a compound annual growth rate (CAGR) of 4.3% in local currency terms. Desktop market will underperform, but notebook sales growth expected to be robust, while tablet market should stabilise after initial boom and subsequent volume contraction in 2015.
Software Sales: CZK18.9bn in 2016 to CZK23.3bn in 2019, a CAGR of 7.1% in local currency terms. Cloud delivery models will deepen the enterprise applications market to more SMEs, while large enterprise spending growth will be underpinned by more complex deployments.
IT Services Sales: CZK31.6bn in 2016 to CZK39.3bn in 2019, a CAGR of 7.5%. Growth outperformance will occur as a result of outsourcing and cloud service adoption by enterprises, alongside major public sector tenders.
|Bullish Outlook Will Extend Czech Leadership In CEE|
|IT Spending Per Capita (EUR), 2016f & 2019f|
|f = BMI forecast. Source: BMI|
The Czech Republic Information Technology Report features Business Monitor International (BMI)'s market assessment and independent forecasts covering personal computers and software; semi-conductors, memory chips, integrated circuits and general components; the internet and IT solutions. It analyses analyses regulatory changes (licensing, customs and intellectual property protection) and competitive landscapes comparing IT companies by products, sales, market share, investments, projects and expansion strategies.
BMI's Czech Republic Information Technology Report provides industry professionals and strategists, corporate analysts, IT associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on the IT industry in Czech Republic.
- Benchmark BMI's independent IT Industry forecasts for Czech Republic to test other views - a key input for successful budgetary and strategic business planning in the Czech IT market.
- Target business opportunities and risks in Czech Republic's IT sector through our reviews of latest industry trends, regulatory changes, and major deals, projects and investments in Czech Republic.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
BMI Industry View
Summary of BMI’s key industry forecasts, views and trend analysis covering IT, regulatory changes, major investments and projects and significant national and multinational company developments.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the IT sector and within the broader telecommunications, political, economic and business environment.
BMI Industry Forecast
Historic data series (2010-2013) and forecasts to end-2019 for all key industry and economic indicators, supported by explicit assumptions, plus analysis of key downside risks to the main forecast, including:
- IT Sector: Industry value (USDmn); IT sector contribution to GDP (%); value of hardware, software and services industry (USDmn); PC, peripherals and software imports and exports (USDmn); PC, peripherals and software sales (USDmn); number of PCs (‘000); PCs per 100 inhabitants; internet users (‘000); internet users per 100 inhabitants; broadband subscribers (‘000); broadband subscribers per 100 inhabitants.
- Economy: Economic growth (%); nominal GDP (USDbn); unemployment (%); interest rates (%); exchange rate (against USD).
Information Technology Risk Reward Index
BMI’s Risk Reward Indices provide technology manufacturers, service providers, and IT vendors/leasing agents looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic data points to provide indices of highest to lowest appeal to investors, with each position explained.
Country Market Overview
Structure, size and value of the industry sectors including hardware, software and services; overview of the industry landscape and key players; assessment of the business operating environment and the latest regulatory developments and government authority.
BMI forecasts for all headline macroeconomic indicators to end-2019 including real GDP growth, inflation, fiscal balance, trade balance, current account and external debt.
Full analysis of the competitive landscape within the hardware, software and services sectors.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI’s industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
Cross-border analysis of country markets in the region, commenting on IT penetration (PC and internet) and market growth drivers (IT market size and IT market compound growth).
The information Technology Reports draw on an extensive network of primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.
*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.