Ausralia Information Technology Report Q3 2012

Australian IT sales are expected to reach US$21.6bn in 2012, up 4%, with BMI expecting an
increase in consumer and business spending. The market should continue to offer opportunities, despite
business concerns about the domestic carbon tax and the global economic situation. The government''s
ambitious broadband plans will drive development of Australia''s digital economy and services such as
online banking and shopping. Government tenders will drive considerable spending in future in areas
such as education, e-government, transport, and healthcare. Growth areas in 2012 will include tablets
and demand across market segments to take advantage of opportunities presented by cloud computing.

• Headline Expenditure Projections
Computer hardware sales: US$9.2bn in 2011 to US$9.4bn in 2012, +1% in US dollar terms.
Forecast in US dollar terms unchanged as government programmes should help to shore up
demand.
• Software sales: US$3.5bn in 2011 to US$3.7bn in 2012, +7% in US dollar terms. Forecast in
US dollar terms unchanged and cloud-based delivery should boost sales of enterprise resource
planning (ERP) and other e-business products to the small- and medium-sized enterprise (SME)
market.
• IT Services sales: US$8.1bn in 2011 to US$8.5bn in 2012, +6.0% in US dollar terms. Forecast
in US dollar terms unchanged, with cloud services a growth area as local companies try to use
computing resources more effectively.
Risk/Reward Ratings: Australia''s score was 73.2 out of 100.0. Australia ranks second in our latest Asia
region RRR table, still ahead of larger rivals such as China, India and Indonesia.

Key Trends & Developments

• We expect the growing popularity of tablets to continue in 2012, with shipments reaching around
  2mn units. By the end of 2012, it has been forecast that as many as 40% of Australians could be
  using a tablet PC, with population penetration at around 20%. On this forecast, the diffusion
  curve of tablets would be steeper than for almost any other consumer electronics product of
  recent years.
• A significant opportunity will be services that enable the use of cloud computing models such as
  SaaS and IaaS. Organisations in many industries are keen to drive down costs by using cloud
  computing models, but one priority for IT services vendors will be to address concerns about
  cloud security. In 2012 more leading Australian private and public sector organisations are
  expected to launch cloud initiatives, with surveys indicating that cloud computing is a key
  priority for Australian CIOs.
  Australia Information Technology Report Q3 2012
  © Business Monitor International Ltd Page 6
• Government subsidies of computers in education will provide support for the market. In 2011,
  national and state governments continued to roll out new initiatives, and the Victoria government
  has invested more than US$150mn in IT in schools. New South Wales and Queensland
  authorities were also rolling out IT for schools projects.

Ausralia Information Technology

Published: August 2012                     No. of Pages:  81                             Price: US $ 1175

   

Table of Contents

Executive Summary . 5
SWOT Analysis 7
Australia IT Sector SWOT . 7
Australia Political SWOT 8
Australia Economic SWOT . 9
Australia Business Environment SWOT 10
Asia Pacific IT Risk/Reward Ratings 11
Table: Asia Pacific IT Risk/Reward Ratings . 16
IT Markets Overview 17
IT Penetration 17
IT Growth and Drivers . 19
Sectors And Verticals . 21
Market Overview 25
Government Authority 25
Industry Developments . 33
Table: Computers For Schools Programme, Phase Two - Planned Spending By State 35
Industry Forecast . 36
Market Drivers . 37
Segments 37
Summary 38
Table: Australia IT Industry - Historical Data And Forecasts, 2008-2016 . 38
Internet 39
Table: Telecoms Sector - Internet - Historical Data & Forecasts, 2009-2016 . 39
Competitive Landscape 41
Computers 41
Software . 43
IT Services 44
Internet 46
Table: Australia Dial-Up And Broadband Internet Subscriptions, 2009-2010 46
Table: Australian Broadband Market, June 2009-June 2010 . 49
ADSL2+ . 49
Naked DSL 51
WiMAX 52
National Broadband Network Update . 53
Macroeconomic Forecast 57
Table: Australia - Economic Activity, 2011-2016 60
Company Profiles 61
SAP 61
Microsoft Corporation . 64
Hewlett-Packard 69
Australia Information Technology Report Q3 2012
© Business Monitor International Ltd Page 4
Demographic Outlook 75
Table: Australia''s Population By Age Group, 1990-2020 (''000) 76
Table: Australia''s Population By Age Group, 1990-2020 (% of total) 77
Table: Australia''s Key Population Ratios, 1990-2020 . 78
Table: Australia''s Rural And Urban Population, 1990-2020 78
BMI Methodology . 79
How We Generate Our Industry Forecasts 79
Transport Industry 79
Sources 80Table: Asia Pacific IT Risk/Reward Ratings
Table: Computers For Schools Programme Phase Two Planned Spending By State
Table: Australia IT Industry Historical Data And Forecasts
Table: Telecoms Sector Internet Historical Data & Forecasts
Table: Australia DialUp And Broadband Internet Subscriptions
Table: Australian Broadband Market June June
Table: Australia Economic Activity
Table: Australia''s Population By Age Group ('')
Table: Australia''s Population By Age Group (% of total)
Table: Australia''s Key Population Ratios
Table: Australia''s Rural And Urban Population