Fujitsu 2009 Annual Report Download - page 33

0
200
400
800
600 578.6
666.7
634.9
607.9
588.4
2008 2009 2010 2011 2012
Market Data
(Billions of dollars)
(Source: IDC The Worldwide Black Book Q1 2009)
Global IT Services Market Forecast Global IT Services Market Share
in 2008 (Revenue Basis)
IT Services Market Share
in Japan 2008 (Revenue Basis)
[Outlook for Fiscal 2009]
Market Trends
The Japanese IT services market in 2009 is projected to increase
by 1.7% to US$51.6 billion. IT investment has been strong until
now, but the rate of growth is expected to be subdued with com-
panies curtailing capital expenditures amid the global economic
recession. Effective utilization of IT to enhance profitability and
bolster competitiveness is expected to be an urgent issue in a
harsh economic environment defined by lackluster consumer
spending, the yen’s appreciation, and employment instability. Use
of outsourcing is widely expected to gain momentum as custom-
ers cut costs and implement measures for business continuity
and environmental protection, particularly measures to combat
global warming. Delivery of applications via networks, using cloud
computing and other platforms, is also likely to grow.
The global IT services market is projected to increase 1.7%
year on year to US$588.4 billion. The economic downturn is
expected to continue to weigh on growth, as will efforts to mini-
mize IT investment, particularly in North America and Europe. In
contrast, signs of economic recovery are emerging in India, China,
and other emerging economies, which are expected to post
double-digit growth in IT investment.
Initiatives Going Forward
Solutions/SI: In Japan, we intend to deploy our new class of busi-
ness consultants, “Field Innovators,” to our customers’ operations
to strengthen the provision of solutions from a more customer-
centric viewpoint. Our Field Innovators will allow us to identify
business issues facing customers and provide solutions by com-
bining the strengths of people, processes, and IT. Another goal is
to boost productivity in the systems integration phase by pursu-
ing standardization and automation using infrastructure SE facili-
ties. We are also realigning our sales framework, reorganizing SE
companies, and enacting other structural reforms. In this way, we
will establish the optimal business formation for our customers,
allowing us to continue providing high-quality, highly reliable
services. Outside of Japan, we will reinforce our consulting capa-
bilities and strengthen initiatives in ERP, SaaS, and other new busi-
ness domains. Spearheading this push will be Fujitsu America,
which was newly established on April 1, 2009.
Infrastructure Services: In Japan, we will enhance our support
of customers’ business continuity plans and efforts to lower their
environmental footprint by opening a new datacenter, scheduled
for November 2009. Built to the highest standards (CASBEE
S-compliant, Tier 4-compatible), this center will meet growing data-
center outsourcing demand in Japan, and will be compatible with
newly emerging, highly integrated system, and green IT needs.
In line with the growth of SaaS business and cloud comput-
ing, we are expanding our business of application services acces-
sible via networks. In markets outside Japan, UK-based Fujitsu
Services will lead the push to realize the benefits of synergies
from recent M&As as we accelerate business expansion in Europe,
centered on outsourcing.
Company A 7.3%
Company B 4.8%
Company C 2.9%
Company D 2.1%
Others 80.3%
Company D 8.1%
Others 48.6%
Company A 10.5%
Company B 9.9%
Company C 9.4%
(Source: Gartner “IT Services Market Metrics World-
wide Market Share: Database” 14 May 2009)
(Source: Gartner “IT Services Market Metrics World-
wide Market Share: Database” 14 May 2009)
Company B Company C
Company A
Company D
Company B
Others
Company C
Company A
Company D
Others
Fujitsu
2.5%
Fujitsu
13.5%
The Gartner Report(s) described herein, (the “Gartner Report(s)”)
represent(s) data, research opinion or viewpoints published, as part
of a syndicated subscription service, by Gartner, Inc. (“ Gartner”), and
are not representations of fact. Each Gartner Report speaks as of its
original publication date (and not as of the date of this Prospectus)
and the opinions expressed in the Gartner Report(s) are subject to
change without notice.
PERFORMANCE Operational Review and Outlook Technology Solutions/Services
031
ANNUAL REPORT 2009
FUJITSU LIMITED