The UK technology sector has experienced a growth of 0.84% in 2010, lagging behind global growth of 3.3%, according to European technology research firm IDATE’s report.
The report published in the 11th edition of the DigiWorld Yearbook finds that total spending on digital technologies and services reached €2,754bn in 2010.
However, other major European economies are experiencing higher overall growth rates with France and Germany both seeing increases of around 2% in the same period.
Despite the UK technology sector experiencing low growth rates UK consumers and businesses combined are still Europe’s biggest revenue generators on technology with an average revenue per capita of €2,060 / £1,800 between 2010 and 2011.
This compares to an average revenue per capita of €1,230 in Spain and €1,950 in Germany.
The UKs revenue figures were inflated by especially buoyant share of businesses on technology revenue which represented 45% of the total compared to an EU average of 38% of total technology revenues, the research said.
IDATE CEO Yves Gassot said we can see from this year’s figures that growth in the UK is moderate and underperforming European and global peers.
"However we shouldn’t underestimate the resilience of the UK technology market and it’s encouraging to see business spending on technology was robust during 2010," Gassot added.
From a global perspective, North America has again pulled ahead of Europe. The Chinese market having managed to translate the rise in unit sales into a rise in revenue, not only at home but also abroad, whereas the Indian market remains largely one of spectacular volume only.
The Internet sector as a whole – including access, software and content – now accounts for around 8% of the ICT services market in Europe and in the US, with the potential to rise to 20% in the medium term.
