IT SERVICES

Tech sector resilient but not immune to the Covid-19 outbreak

A1

Low RISK for entreprises

  • Fragmentation

  • Internationalization

  • Capital Intensity

  • Profitability

  • High value added, high margins in IT consulting, software, cloud computing
  • Significant share of recurring revenues
  • Broad customer base (industries, retail, banking, insurance, transport, etc.)
  • Powerful long term growth drivers (digitization of the economy)
  • Positive legacy of the Covid-19 outbreak on future IT investment
  • Low barriers to entry
  • Sensitivity to cuts in corporate IT investment

Key players

Country Role Sector risk
United States

#1 market by revenue

A

Low risk

UK

#2 market by revenue

B

Medium risk

Japan

#3 market by revenue

A

Low risk

Germany

#4 market by revenue

B

Medium risk

China

#5 market by revenue

A

Low risk

Contact Euler Hermes

Economic Research Team

research@eulerhermes.com

Risk Analyst

Aurélien Duthoit

aurelien.duthoit@eulerhermes.com

Oferta de pret