Summing Up the Year in the IT Industry: the Key Points of the Meeting with the Media

Summing Up the Year in the IT Industry: the Key Points

The boom of digital solutions and cloud technologies, cyber threats and Diia City, the glass ceiling of the job market and the transformation of IT education — these are the topics that were discussed among other trends of the IT industry development on December 20 at a press meeting of Vitaly Sedler, the President of IT Ukraine Association and the CEO of Intellias, with journalists. The topic of the evening was the discussion of achievements and failures of the year in the IT industry, as well as forecasts for 2022. We are grateful to journalists for the active dialogue and continuous cooperation, and we will share the key points of the meeting with you.

WORLD TRENDS IN THE IT INDUSTRY

  •         The world economy is returning to growth

According to Gartner, in 2021 the volume of the IT market will reach USD 4.24 trillion. If this forecast comes true, the year-on-year growth will amount to 9.5%. Next year, IT spending is projected to grow by about 5.5%. As a result, the industry is forecast to reach USD 4.47 trillion. In 2022, more than half of the world’s economy is expected to be based on or directly affected by digital technologies.

  •         Increasing investment in digital transformation solutions

By 2023, up to 90% of companies worldwide will prioritize investing in digital tools to increase their sales channels and assets through the digital experience.

  •         Cyber threats are one of the main obstacles to digital development

Over the last 2 years, the number of cyber-attacks has increased many times. According to RiskIQ, every minute global corporations lose about USD 3 million due to cyber-attacks. The innovation of the coming years will be the transition of companies to the Cybersecurity Mesh. Its main task is to ensure secure human access to any digital resource, regardless of the location. Experts predict that by 2024, companies that use such a tool will be able to reduce the financial impact of possible cyber incidents by an average of 90%.

  •         Boom in the development of cloud services

By 2025, cloud platforms will be the basis for over 95% of new digital initiatives. For comparison, now it is less than 40%. In the next few years, 80% of companies will use cloud services with support of artificial intelligence. AI will manage, optimize and protect scattered resources and data. However, 70% of companies will not be able to fully use these tools due to the lack of skills of IT professionals and the lack of highly qualified IT staff.

THE UKRAINIAN IT TRENDS

  •         2022 will meet us with the implementation of Diia City regime

In general, this is a positive phenomenon, because the largest specialized community of Ukraine — IT Ukraine — managed to defend acceptable tax rates for the IT industry and 

reach a compromise with the government. Businesses are likely to need assistance in deciding on residency in Diia City and further advisory support throughout the residency period. Therefore, we have a task to qualitatively and promptly advise IT businesses and explain all the benefits and challenges of residency in Diia City to them. After all, Diia City is an ambitious experiment at the state level that has not yet been tested.

  •         Recovery course

Due to a large number of partnerships and clients from developed countries, the Ukrainian IT industry is very deeply integrated into global processes. Domestic customers are also changing. Albeit belatedly, Ukrainian companies are actively digitalizing, taking into account remote work and other pandemic challenges.

  •         Ukrainian outsourcing will receive more and more orders

Ukraine, like the whole of Eastern Europe, is a potentially powerful R&D hub whereto the world’s giants will come for new solutions. Ukrainian IT outsourcers will receive more and more orders to develop the necessary solutions. The most promising areas are cybersecurity, business management automation, and work with Big Data and the development of cloud solutions.

  •         The job market in the IT industry will continue to grow

According to DOU, the number of individual entrepreneurs working with IT has grown by almost 50 thousand and has reached almost 252 thousand this year, which is a record. This year, over 112 thousand vacancies have been published at DOU. This is almost twice as much as in 2020. Demand for IT specialists in Ukraine is growing by an average of 30% per year and there are 30-40 vacancies for every employed person. Experts note that in 2030 a shortage of over 230 thousand IT professionals of various profiles is forecast in Ukraine.

  •         IT education is undergoing transformations

IT education needs to be comprehensively updated at all levels. On December 16, at the largest educational IT conference of Ukraine, i.e. Synergy. IT Business & IT Education, Mykhailo Fedorov, a Vice Prime Minister and the Minister of Digital Transformation, presented a roadmap for the development of IT education in Ukraine. It is expected that the presented roadmap will contribute to qualitative changes in the development of IT education: non-formal education, higher and professional education, as well as general secondary education.

It is worth reminding that IT Ukraine Association is the largest specialized community in Ukraine. In December 2021, it crossed the mark of 100 member companies employing over 70,000 IT specialists in Ukraine. The Association actively cooperates with national and international media and covers the hot trends of the industry, numerous GR initiatives, international, educational and social projects. In 2021, the press meetings of Vitaly Sedler, the President of IT Ukraine Association and the CEO of Intellias, were attended by over 50 journalists from the leading business and professional media of Ukraine. To familiarize yourself with the abstracts of previous press events, please follow the links: April 2021, July 2021.