Australia ICT Market Size (2024 - 2029)

Australia ICT Market Analysis

The Australian ICT market is expected to expand at a CAGR of 8.2% over the forecast period. The growing emphasis on digital technology, cyber security, artificial intelligence, robotics, and healthcare IT in Australia is driving the market's growth significantly. Moreover, a significant research infrastructure and a technology-hungry, solutions-driven customer base make Australia a strategic location for a vast range of ICT activities with a regional and global focus.

• Major world-recognized brands are taking advantage of what Australia offers in the ICT market. Global names such as Avaya, Canon, and IBM have built product development (R&D) facilities in Australia. Google Maps and Warner Bros have used their bases in Australia to develop profitable international digital content for the business and entertainment sectors. Alcatel-Lucent, Cisco Systems, and CSC run advanced technical assistance centers for operations around the world from Australia, and Logica CMG, Reuters, and Infosys have made Australia central to their global risk reduction strategies.
• Moreover, the surge in demand to explore and adopt digital technologies and initiatives, the increase in the overall demand for digitalization and scalable IT infrastructure, the wide adoption of the 5G network, and the rising penetration of technology giants are boosting the growth of the market significantly.
• Furthermore, the increase in the Australian Government's IT expenditure significantly fuels the growth opportunities of the market. As per the Australian Computer Society, in 2022, Australian Federal Government's spending on IT services was forecasted to total 6.4 billion Australian dollars, whereas it was about 6 billion Australian dollars in the year 2021. Other critical areas of IT spending included telecom and devices. However, software expenses were anticipated to attract the second-largest funding of over 4 billion Australian dollars in 2022.
• However, the fragmented nature of the market, the growing incidence of data breaches, and the country's dependency on external sources to balance the skill deficit are expected to hinder market growth in Australia.
• While the COVID-19 pandemic impacted Australia's digital transformation, companies are realigning their IT strategies, automating processes, managing operational costs, and implementing new systems for better and improved efficiencies. In addition, emerging technologies such as robotic process automation, artificial intelligence, big data, machine learning, cloud computing, the internet of things, blockchain, cybersecurity, and augmented/virtual reality are helping to a great extent to accomplish these goals.

Australia ICT Industry Segmentation

Information technology is often known as information and communication technologies, or ICT. It covers all forms of media applications and services that let users store, access, transmit, retrieve, and manipulate data in a digital format, including wireless networks, the internet, computers, smartphones, software, social networking, and other media.

The Australian ICT market is segmented by type (hardware, software, IT services, telecommunication services), size of the enterprise (small and medium enterprises, large enterprises), industry vertical (BFSI, IT and Telecom, government, retail and e-commerce, manufacturing, energy and utilities, and other industry verticals). The market sizes and forecasts are provided in terms of value in USD million for all the above-mentioned segments.