This IDC Forecast Update recasts the long-term forecast published in U.S. Outsourcing Services by Vertical Market 2005?2009 Forecast (IDC #33580, July 2005) in light of 1H05 data, and it discusses the major dynamics impacting the forecast. Changes to IDC's historical outsourcing services market segmentation by vertical market are considered one-time market corrections and are expected to be stable in the future. These changes are based on an improved understanding of services penetration in specific vertical markets, new firmographic information, and improved vendor supply-side information resulting from IDC's series of documents on vendor shares by vertical industry. Changes include refined industry segmentation as well as alterations to the projected forecast trends. An explanation of those changes and the rationale that motivated them is subsequently offered. These alterations of the vertical market forecast are based on some or all of the following resources: