The Danish outsourcing market continues to show impressive growth rates: The total Danish outsourcing market value was MDKK 10.165 in 2004, growing 31% over 2003, according to a new study from IDC.

"However, there are signs that this will not continue at the same pace", says Nordic Research Manager Karsten Fogh Ho-Lanng, IDC. "Especially the market for basic IS Outsourcing is mature, and the market players are looking for new opportunities in niche areas of outsourcing, as well as outside IT outsourcing, in for instance business process outsourcing. Other factors putting pressure on the outsourcing vendors are increased use of discrete IT outsourcing, continued downward price pressures resulting from the use of easier-to-use and cheaper technologies, and offshore and newer forms of service delivery, such as utility computing and software as a service (SaaS)."