Tech Sector Boom Could Continue in 2013

November 28, 2012

IT service and IT staffing companies could be in good shape for at least the next 12 months. In a recent interview with CNBC, Som Mittal, president of the National Association of Software and Service Companies (NASSCOM), said he expects the global IT sector will grow another 11 to 14 percent in 2013.

“It is clear that companies are looking at transforming their business models,” Mittal told the news source. “As they do that, technology is the centerpiece of that transformation because that is what will drive the changes that they are making.”

The double-digit increase could come after a 2012 campaign that saw the tech sector grow 16.3 percent. Mittal said he thinks the convergence of new technologies like mobile devices, social media and the cloud is spurring a significant amount of IT investment.

In the United States, the tech sector’s success has been felt nationwide – and those effects have impacted professions outside traditional IT sector as well. Enrico Moretti, an economics professor at the University of California, Berkeley, recently told Bloomberg Businessweek that each software engineer position will indirectly lead to additional service jobs. Moretti added that “this multiplier effect” is even greater for high-tech positions.