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Internet & IT
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2000-04-21 03:33:00-04
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Asia-Pacific Internet Spending to reach $100 Billion
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China will be biggest spender, focus will be on services rather than on hardware and software, Southeast Asia will have fastest growth
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Spending on information technology in the Asia-Pacific region, excluding Japan, is set to double in five years to over $100 billion by 2004, according to International Data Corp., an IT research firm. Yearly expenditure growth in the region is pegged at 15.5% annually from 1999 to 2004, when it will reach $106.6 billion. The spending will be primarily focused on services, rather than hardware and software. Spending on the Internet economy, consisting of e-commerce and infrastructure is to grow to $123 billion in 2004, up from $10 billion in 1999. Globally the figures will be a yearly increase of 59% from 1999 to 2003, when it will hit an estimated $3.2 trillion. Spending growth rates will be the highest in Southeast Asia and India at 21%, followed by China at 19.6%, South Koreas at 9.6% and Australia and New Zealand at 9.1% The largest spending countries by 2004 will be China at $33 billion, an increase of 24% from 1999, Australia at $22 billion and South Korea at $13 billion The spending priorities in the region will shift from hardware, the leading category now, to integrating services to move products to customers faster and thus develop a competitive edge. Difficulties being faced in the region include a skills shortage, a hardware -acquisition mind set, integration of new IT processes with existing and the speed at which the Internet is driving all sectors of business.
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