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Rise in number of IT services deals

A huge number of IT services deals were sealed during the last three months of 2010

A huge number of IT services deals were sealed during the last three months of 2010, following a sluggish trend seen earlier in the year, according to a study.

Statistics released by IT analyst Ovum showed that in comparison with the previous quarter, total contact value (TCV) increased by 66% to over $49 billion (£30 billion) - the highest fourth-quarter TCV since the year 2003.

Ovum analyst Ed Thomas said: "2010 went out with a bang thanks to a number of mega-deals announced during the fourth quarter. It was a remarkable turnaround for the sector which, after a sluggish first three quarters, was forecast to hit its lowest annual TCV level for five years.

"However, rather than enduring another stagnant quarter, a string of large deals meant that the IT services market exploded into life."

Meanwhile for the nine months to the end of September, TCV stood at $96.40 billion (£59.70 billion), down 9% year-on-year.

Copyright Press Association 2011

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