Thai IT industry driven by the rapid adoption of social media

Press Release   •   Aug 28, 2013 08:50 BST

The Thai information technology (IT) industry has been forecast to increase at a compound annual growth rate (CAGR) of 10.74% through 2016, driven by the increase in sales of computing devices, and the rapid adoption of social media.

Economic uncertainty and rapidly changing consumer demand will continue to have significant impacts on Thailand's ICT market. The growth of the smart connected devices market and newly developing IT service delivery models are prompting IT service providers as well as end-users in the enterprise and SMB sectors to evolve and adapt to the new reality.

Moreover, changing buying behaviour for IT products and services is resulting in a merging of the concepts of mobility, social applications and IT consumerisation.

Currently, more than 30 percent of the population is using the internet in Thailand. There are approximately 7 million internet users. When it comes to social media, companies in Thailand have been adopting it at a very fast rate.

Companies use social media to promote their products or services online, and to reach a wide number of audiences. They also use social networking sites such as Twitter and Facebook as an advertising platform to test their latest products, services, and solutions and to receive feedback from the public.

In addition, companies are using social networking sites and search engines to identify people with potential talent and experience and to carry out background checks. This will give an insight into the candidates' personalities and their past and present activities.

ICT Spending in 2013 will be boosted by both enterprise and consumer markets. Heavy investment is expected to continue from the top spending verticals such as financial services, telecoms and government. It has been evident since the second half of 2012 that organisations have increased their spending on ICT solutions, especially for hardware.

One of the key challenges is the delay in the implementation of broadband and new technologies. With the expected technological changes, vendors need to increase their investments in training customers. Increased investment in training increases the overall cost of developing newer technology, thereby reducing vendors' profit margins.

Key players currently dominating the Thai IT industry include Acer Inc., Advanced Information Technology Public Co. Ltd., Hewlett-Packard Co., and IBM Corp.

For more information on the Thai IT industry, see the latest research: Thai IT Industry

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