Information Technology (IT) Services Market in Latin America 2025-2029
Information Technology (IT) Services Market in Latin America 2025-2029
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Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria ................... 20
2.2 Criticality of inputs and Factors of differentiation.................................................................................................. 21
Overview on criticality of inputs and factors of differentiation ...................................................................................... 21
2.3 Factors of disruption ............................................................................................................................................... 22
Overview on factors of disruption ................................................................................................................................... 22
2.4 Impact of drivers and challenges ............................................................................................................................ 23
Impact of drivers and challenges in 2024 and 2029 ....................................................................................................... 23
3 Market Landscape................................................................................................................................................ 24
3.1 Market ecosystem ................................................................................................................................................... 25
Parent Market ................................................................................................................................................................... 25
Data Table on - Parent Market ......................................................................................................................................... 25
3.2 Market characteristics ............................................................................................................................................. 31
Market characteristics analysis ....................................................................................................................................... 31
3.3 Value chain analysis ................................................................................................................................................ 33
Value chain analysis ........................................................................................................................................................ 33
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6 Qualitative Analysis.............................................................................................................................................. 50
6.1 Impact of AI on Information Technology Services in Latin America ...................................................................... 51
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Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria ................... 92
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2024 2029
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Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase
criteria
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The information technology (IT) services market in Latin America is a part of the global it consulting and other
services market. The global it consulting and other services market was valued at $486.12 billion in 2021 and
reached $557.35 billion in 2023.
The global it consulting and other services market witnessed an incremental growth of $71.2 billion and
registered a CAGR of 7.1% from 2021 to 2023.
Parent Market
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Technavio calculates the global IT consulting and other services market size based on combined revenue
generated by companies engaged in the provision of all types of IT consulting and information management
services. It includes the annual revenues generated by the companies through the execution of IT service
contracts.
Growth in the global IT consulting and other services market will be driven by the following factors:
(GMV) of more than $2 trillion. Even while the current platform is effective, expanding it and adapting to
changing client and seller needs are architecturally difficult. Thus, as government investment in IT
infrastructure increases, the demand for IT consulting and other services is expected to rise during the
forecast period.
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• Need for better business productivity: The need to improve business productivity and gain competitive
advantage, such as optimization of capacity, reduction of lead time and cost, and increased profitability
through IT infrastructure, is a major factor that drives the market. IT consulting and infrastructure
management services enhance the organizational process by improving quality control and inventory
control, which, in turn, helps organizations improve their productivity and efficiency. The increasing
importance of scalable IT systems is leading enterprises to look for business solutions that can accelerate
the growth of an organization by effectively managing business management services. During the COVID-
19 pandemic, many companies availed infrastructure services to improve productivity, meet business
demands, and remain competitive in the market. This increased the requirement for consulting and other
infrastructure-related services.
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• Increasing Agile and DevOps methodologies: The global IT consulting and other services market is
heavily reliant on the Agile and DevOps approaches. In a market that moves quickly and is rapidly evolving,
these techniques put a strong emphasis on enhancing collaboration, efficiency, and the provision of high-
quality goods and services. Agile planning, iterative development, and strong client collaboration are
prioritized. Projects can be divided into smaller, more manageable modules or sprints to help consulting
businesses swiftly provide additional value to clients. Customers can offer feedback at any time during the
development process because of this method, which guarantees that their changing demands are handled
in a useful way. Agile also encourages cross-functional teams, improving cooperation and communication
among various project stakeholders. On the other hand, the DevOps methodology focuses on closing the
gap between IT operations (Ops) and software development (Dev). It encourages continuous delivery,
integration, and deployment of software, allowing consulting businesses to provide services and solutions
more quickly. DevOps technique automates procedures, which lowers errors, increases productivity, and
allows consultants to react more swiftly to shifting client needs or market trends. Since it offers a
comprehensive approach to project management and service delivery, the combination of Agile and
DevOps techniques is growing in popularity in the IT consulting industry. It enables consulting companies
to serve customers more effectively, boost customer satisfaction, and react rapidly to market
developments. These approaches also make it easier to adapt to modern technologies, like artificial
intelligence and cloud computing, which are revolutionizing the field of IT consulting.
Some of the key issues faced by the global IT consulting and other services market include:
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• Intense competition among vendors: The global IT consulting and other services market is highly
competitive due to the presence of several companies ranging from large multinational enterprises to
smaller companies with niche areas of expertise. The rapid technological developments coupled with low
entry barriers have led to the entry of several new companies, which have quickly created a niche market
for their services. The nature of the services provided allows smaller companies specializing in new
technology to capture a chunk of the IT consulting services market at the expense of the established
players. Furthermore, smaller vendors offering innovative and specialized services are also increasingly
being acquired by or merged with larger vendors, thereby resulting in market consolidation. The
competition in the market is expected to intensify in the forecast period as the rapidly evolving
technological landscape continues to encourage new IT consulting and systems integration firms to enter
the market.
• Non-availability of skilled professionals: The information technology sector is continually changing, and
new technologies are developing quickly. Skilled professionals must regularly refresh their knowledge and
abilities to stay current with these developments. The sector is fast-paced, nevertheless, there can be a
shortage of experienced workers with current knowledge of cutting-edge technologies. The abilities that
job seekers possess and the skills that businesses demand frequently differ. New skill requirements are
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created by technological development and shifting market expectations, which the current workforce
might not be able to meet. Companies must hire or reskill, retain, and motivate appropriate numbers of
talented people with varied skills to serve clients across the world and adapt quickly to the rapid changes
in technology and the industry. However, there is intense competition in the market to hire the right talent
with capabilities in new technologies. Businesses from all over the world are striving for the expertise of
skilled employees in the IT industry. Companies struggle to find and keep talented personnel due to the
fierce talent competition. Hence, companies may not be able to cost-effectively hire and retain employees
with such skills, which may cause them to incur increased costs.
• Continuous change in IT training modules: The dynamic nature of the IT industry, due to the frequent
introduction of new technologies and programming languages, necessitates the frequent development of
training modules. Growing advances and innovations in the market related to technologies such as AI, ML,
blockchain, cloud computing, advanced analytics, big data, IoT, virtual assistants, automated vehicles, and
augmented and virtual reality directly or indirectly impact various enterprises and industries. This leads to
an increase in the demand for upgraded training modules that incorporate advanced technologies.
Employees in any organization frequently need to upgrade their skills as per changes in the industry.
Therefore, to keep training modules effective amid changes, market vendors need to keep track of
emerging technologies and skills and update training modules accordingly, which increases the
operational cost for vendors.
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The global economy is stagnating. Global economic growth contracted to 2.6% in 2024, just above the 2.5%
threshold commonly associated with a recession. This is stark in contrast when compared between 2015 and
2019, when global economic growth averaged 3.2%. In a stagnant global economy, the IT consulting sector
may face reduced demand as businesses prioritize cost-cutting measures over technology investments.
Organizations may defer or scale back IT projects, leading to decreased consulting revenues. Increased
competition may drive firms to lower fees, squeezing profit margins. Additionally, firms may prioritize existing
client relationships over acquiring new customers, limiting growth opportunities. Investment in research and
development and innovation may decline as companies focus on immediate financial stability, hindering the
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development of innovative solutions. As economic uncertainty persists, firms may need to adapt quickly to
changing client needs and market conditions to remain competitive.
The global IT consulting and other services market is at a crossroads, with the market having a positive
impact due to factors such as the increasing government and enterprise investments in upgrading their IT
infrastructure and rising adoption of advanced technologies such as AI, IoT, big data, and others. On the other
hand, factors such as the difficulty in maintaining ongoing, profitable client demand, intense competition, and
the non-availability of skilled professionals are restricting the growth of the market.
The global IT consulting and other services market can be broadly classified into the following segments:
IT consulting services:
• Systems planning and design consulting: It includes services related to the design, development, and
overhaul of IT systems (including data center, networking, infrastructure, and software), as well as the
planning phase relating to IT systems integration.
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• Technical support services: It includes the provision of technical support services for solving problems
related to software, hardware, or the entire IT environment.
• Technical consulting services: It includes the provision of strategic consulting services related to all
aspects of IT, including hardware, software, procurement of systems, and security.
• Other IT consulting services: It includes miscellaneous services such as domain name registration, custom
database design and development, website design and development, temporary technical staffing,
licensing rights, and resale of computer hardware and software.
• Hardware integration: It includes services that help integrate the enterprise's existing hardware systems,
such as building management system (BMS), cloud integration, integrated communication, data center
infrastructure management (DCIM), network integration, and others.
• Application integration: It includes services that help integrate enterprises' existing software and data
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environment.
• Cloud migration services: These include services for enterprises to upgrade existing underlying data center
infrastructure or application delivery through cloud computing infrastructure (including networking,
security, storage, and application).
Other services:
• Information management services: This includes services that guide enterprises to define and develop the
information management processes, standards, architecture, and tools, and harness the full potential of
enterprise data assets.
• Education and training services: It includes investments made with IT consultants to provide training and
education services to an enterprise's in-house IT staff.
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The most significant market behavior of participants was innovations in 2024. The considerable market
behavior of participants was mergers and acquisitions in 2024. Regulatory control was a significant force that
impacted market in 2024. Disruption threat was an important force that impacted market in 2024.
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The IT consulting and other services value chain includes processes such as pitching and profiling (brand and
network building, industry and client insights, and selling and pricing); resourcing and communicating
(workflow and process design, project management and resource planning, and client interaction and co-
creation); delivering and controlling (commercial and technical capability, service delivery, quality assurance,
billing, and team engagement); and connecting and innovating (client relationship management, client
education, support, and service innovation).
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The inputs in the IT consulting and other services market include land, financing, equipment suppliers, and
labor. The labor in the industry includes management executives, marketing professionals, and the human
resources engaged in direct operations.
Operations
• Pitching and profiling: Pitching and profiling operations ensure that firms understand the industrys and
clients business requirements and propose a better value proposition. Other prominent activities include
network and brand building to attract top talents and better referrals.
• Resourcing and communicating: Resourcing and communicating operations ensure that the firms
streamline the workflows using fewer resources for the required outputs. Other prominent activities
include project management, resource planning, better client engagement, and communication, thus
increasing the chances of value perceptions and client satisfaction.
• Delivery and support: Delivery and support operations ensure the prompt and effective delivery of
services to meet customers expectations. Other prominent support activities for service delivery include
the resolution of incidents, application and infrastructure monitoring, problem analyses, and the generation
of reports. The delivery and support staff must possess technical capabilities and specialize in activities
such as service delivery, quality assurance (QA), billing, and team engagement.
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• Connecting and innovating: Connecting and innovating operations in the IT consulting and other services
market include client relationship management, client education, support, and service innovation.
Marketing and sales activities include advertising, branding, and promotions. Several service providers focus
on improving their marketing activities by training their sales force and offering services such as customer
care support, which enhances the value of their offerings. Customer satisfaction plays an essential role in the
value chain and includes the effective functioning of all entities associated with the overall IT consulting and
other services value chain.
Service
This stage includes the follow-up management activities implemented by IT firms with their current clients.
Essential factors in service activities include following up for future projects; collaborations with existing
clients; strengthening access to existing clients through offline and online routes, such as sending
promotional materials, emails, and visits; continuously providing applicable industry information to clients;
and offering expanded customer value for future development areas and direction that can be applied based
on the results of development.
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The support activities in the IT consulting and other services market include the purchasing of resources and
inputs, technology development, firm infrastructure development, and human resource management. The
implementation of the latest technology solutions ensures speed and accuracy during different processes and
enhances the quality of the final product. Another critical activity is human resource development as
upskilling initiatives for employees can improve their overall performance and competence. Thus, a good
supply network and the effective execution of all these support activities will enable companies to position
themselves well in the market and meet their strategic objectives.
Innovations
Factors such as the growing presence of freelance and network-based consultants and the establishment of
in-house consulting teams have made it imperative for vendors to invest in technology solutions and
implement innovative strategies to optimize production for long-term growth. The following are some of the
other innovative approaches being followed by vendors to ensure a sustainable market presence:
• Implementation of digital strategies to revamp the existing business and operational models
• Adoption of artificial intelligence and machine learning solutions for software testing
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Information technology services are defined as applications of businesses and technical expertise that allow
organizations to manage and optimize or access information and business processes. Information
technology services include various categories such as data processing and outsourcing, internet services
and infrastructure, information technology consulting, and other services.
Atos SE IT services
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The information technology (IT) services market in Latin America has been analyzed based on various
dimensions and segments to help suppliers within the industry have a better understanding of the structure of
current demand and the components of demand, which will drive growth in the future. Suppliers in the
information technology (IT) services market in Latin America outperforming the overall industry are expected
to focus on the higher potential segments within the market.
Market segments
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To estimate the market size of market in focus, Technavio has tracked the recent trends and developments in
the industry. The market size has been developed by considering the following factors:
• The market size has been calculated based on the revenues generated by IT consulting, systems
integration, and IT training services providers. The market size excludes their contracts with their clients.
• Revenues: Taken in local currencies, if not available in US dollars, for each country and vendor and then
converted to US dollars using the yearly average currency exchange rate of 2024, the base year. This
implies that the figures reflect industry trends, not distorted by fluctuations in international exchange
rates.
The market sizing has been built and validated using multiple demand-side and supply-side approaches for a
detailed understanding of the market in focus. The specific market sizing approaches used for evaluating the
market are:
• Top down: Validated the market based on the contribution of market under study to the overall IT
consulting and other services market
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• Bottom up: Validated the market based on the revenue of market in focus key vendors
• Primary research: Validation of Technavio estimates with inputs from industry participants across the
value chain, including, but not limited to, IT consulting, systems integration, and IT training service
providers
• Combination: Using a combination of more than one approaches described above and integrating the
results in data model
Within the above-mentioned market sizing models, analysts have made assumptions and estimates listed
below:
• COVID-19 outbreak
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• GDP growth
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The information technology (IT) services market in Latin America was valued at $109,392.0 million in 2024
and is estimated to grow to $164,589.7 million in 2029. This will create an incremental growth opportunity
worth $55,197.7 million between 2024 and 2029, which translates to around 51% of the market size in 2024.
This represents significant growth opportunities for companies. Companies can continue to grow by
leveraging the inherent growth opportunities available within the market while avoiding direct competition.
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Modeling developing and high-growth markets is a challenge given the uncertainties around the evolution of
the market. Hence, we start by developing an optimistic and pessimistic range and then use it to build a
realistic estimate of the market size based on various market modeling techniques and inputs from industry
participants.
Mature markets are characterized by stable and high adoption rates, having slower growth rates due to
several factors, including:
• COVID-19 outbreak
The growth forecast is a realistic assessment of the market. However, the market could grow at a rate higher
than the projected figure if the following factors come into play:
• Increasing spending on modernizing IT systems by both public and private sector companies
Conversely, the growth forecast could be missed with the market growing slower than expected if the
following factors come into play:
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The information technology services market in Latin America is expected to register moderate growth during
the forecast period due to factors such as the increasing need for industries to focus on their core
competencies, the rising technological advances, the integration of automation solutions, and the wide
presence of global and local vendors. Prominent vendors in this market are focusing on technological
advances to offer high-quality information technology services to end-users such as BFSI. Countries in Latin
America such as Brazil, Argentina, Mexico, Chile, and Colombia are among the most popular locations to
establish information technology service operations due to their efficient operation model. The enterprises in
European countries are focusing on Latin American countries due to their cost-effective skilled workforce,
cultural similarities, and language capabilities. Also, its greater geographic proximity is an added advantage
for enterprises in Europe. However, Latin America is facing tough competition from Asian countries, as it is
not yet mature as compared with Asia. Asian countries provide specialized skills and an experienced
information technology service community as compared with Latin American countries. However, Asian
countries are struggling with rising wage costs, currency fluctuation, and increasing inflation. This will drive
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Historic Market Size - Data Table on Information Technology (IT) Services Market in Latin America
2019 - 2023 ($ million)
The information technology (IT) services market in Latin America was valued at $89,969.6 million in 2019 and
reached $101,932.1 million in 2023. This created an incremental growth opportunity worth $11,962.5 million
between 2019 and 2023. As per the market disruptions during the historical period, the market grew at a
compound annual growth rate of 3.2%.
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Project oriented service was the largest segment in 2019 and continued to be the largest segment of the
market in 2023. This segment witnessed an incremental growth opportunity worth $4,612.4 million between
2019 and 2023. As per the market disruptions during the historical period, the segment grew at a compound
annual growth rate of 3.2%.
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Enterprise cloud computing service was the 2nd-largest segment in 2019 and continued to be the 2nd-largest
segment of the market in 2023. This segment witnessed an incremental growth opportunity worth $4,011.4
million between 2019 and 2023. As per the market disruptions during the historical period, the segment grew
at a compound annual growth rate of 3.7%.
IT outsourcing service was the 3rd-largest segment in 2019 and continued to be the 3rd-largest segment of
the market in 2023. This segment witnessed an incremental growth opportunity worth $3,162.7 million
between 2019 and 2023. As per the market disruptions during the historical period, the segment grew at a
compound annual growth rate of 3.3%.
IT support and training service was the smallest segment in 2019 and continued to be the smallest segment
of the market in 2023. This segment witnessed an incremental growth opportunity worth $176.1 million
between 2019 and 2023. As per the market disruptions during the historical period, the segment grew at a
compound annual growth rate of 0.5%.
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Hosted service was the largest segment in 2019 and continued to be the largest segment of the market in
2023. This segment witnessed an incremental growth opportunity worth $7,165.2 million between 2019 and
2023. As per the market disruptions during the historical period, the segment grew at a compound annual
growth rate of 3.4%.
Managed service was the smallest segment in 2019 and continued to be the smallest segment of the market
in 2023. This segment witnessed an incremental growth opportunity worth $4,797.4 million between 2019 and
2023. As per the market disruptions during the historical period, the segment grew at a compound annual
growth rate of 2.8%.
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Brazil was the largest segment in 2019 and continued to be the largest segment of the market in 2023. This
segment witnessed an incremental growth opportunity worth $8,360.4 million between 2019 and 2023. As per
the market disruptions during the historical period, the segment grew at a compound annual growth rate of
4.7%.
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Mexico was the 2nd-largest segment in 2019 and continued to be the 2nd-largest segment of the market in
2023. This segment witnessed an incremental growth opportunity worth $1,559.2 million between 2019 and
2023. As per the market disruptions during the historical period, the segment grew at a compound annual
growth rate of 2.0%.
Argentina was the 3rd-largest segment in 2019 and continued to be the 3rd-largest segment of the market in
2023. This segment witnessed an incremental growth opportunity worth $448.6 million between 2019 and
2023. As per the market disruptions during the historical period, the segment grew at a compound annual
growth rate of 1.5%.
Colombia was the 4th-largest segment in 2019 and continued to be the 4th-largest segment of the market in
2023. This segment witnessed an incremental growth opportunity worth $260.4 million between 2019 and
2023. As per the market disruptions during the historical period, the segment grew at a compound annual
growth rate of 1.0%.
Rest of Latin America was the smallest segment in 2019 and continued to be the smallest segment of the
market in 2023. This segment witnessed an incremental growth opportunity worth $1,333.9 million between
2019 and 2023. As per the market disruptions during the historical period, the segment grew at a compound
annual growth rate of 2.0%.
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Artificial Intelligence (AI) is significantly transforming the IT services market in Latin America, driving
efficiency, innovation, and growth across various sectors. Here are some key impacts and examples:
AI is streamlining operations by automating routine tasks and optimizing processes. For instance, TCS
implemented AI-driven automation for a major Brazilian bank, reducing processing times by 30% and
improving accuracy in transaction handling. This has allowed the bank to focus more on strategic initiatives
and customer service.
AI-powered chatbots and virtual assistants are enhancing customer interactions. IBM has deployed Watson
Assistant for several Latin American telecom companies, providing 24/7 customer support and resolving
common issues without human intervention. This has led to a 40% reduction in call center volumes and
improved customer satisfaction rates.
Predictive Maintenance
AI is enabling predictive maintenance, reducing downtime and maintenance costs. Siemens has implemented
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AI solutions for manufacturing plants in Mexico, predicting equipment failures before they occur. This
proactive approach has decreased unplanned downtime by 25%, ensuring smoother operations and higher
productivity.
Personalized Services
AI is helping companies deliver personalized services by analyzing customer data and preferences. Salesforce
has integrated AI into its CRM solutions for businesses in Colombia, allowing them to tailor marketing
campaigns and product recommendations. This has resulted in a 20% increase in customer engagement and
sales conversions.
AI is enhancing fraud detection and risk management capabilities. Mastercard uses AI algorithms to monitor
transactions in real-time, identifying and preventing fraudulent activities for its clients in Latin America. This
has significantly reduced fraud-related losses and increased trust in digital transactions.
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Government Initiatives
Governments in Latin America are also embracing AI to improve public services. For example, the Brazilian
government launched an AI-driven platform to streamline tax collection and compliance. This initiative has
increased tax revenue by 15% and reduced administrative costs.
Conclusion
AI is revolutionizing the IT services market in Latin America by enhancing operational efficiency, improving
customer experiences, enabling predictive maintenance, delivering personalized services, and strengthening
fraud detection. Companies like TCS, IBM, Siemens, Salesforce, and Magie are leading the way in
implementing AI-driven solutions, showcasing the transformative potential of AI in the region.
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The market dynamics for companies were favorable in 2024. They will remain unchanged during the forecast
period.
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The moderate bargaining power of buyers in 2024 provided them with pricing power. In the environment of
high growth, the moderate bargaining power of buyers can offer an opportunity for companies to improve
profit margins. The bargaining power of buyers is expected to remain unchanged during the forecast period.
The information technology services market in Latin America is characterized by the presence of various
small, medium, and large vendors. The presence of many local and global vendors in Latin America results in
moderate product differentiation among buyers. Also, buyers can integrate backward to provide service to
their customers. Hence, the bargaining power of buyers was moderate in 2024, and it is expected to remain
the same during the forecast period.
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The pressure on industry companies due to the moderate bargaining power of buyers in 2024 was mitigated
by the low bargaining power of suppliers. Industry companies can use the low bargaining power of suppliers
to manage input costs and offset their limited pricing power to be able to protect and grow their profit
margins. The bargaining power of suppliers is expected to remain unchanged during the forecast period.
Information technology service providers create and develop their own products and services. Therefore, the
bargaining power of suppliers was low in 2024, and it is expected to remain the same during the forecast
period.
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The threat of new entrants is determined based on the presence of entry barriers in the information
technology (IT) services market in Latin America. The low threat of new entrants in 2024 indicated high entry
barriers. The barriers to entry will continue to remain high by 2029.
The entry barriers are low, and enterprises from the US and Europe are focusing on entering the market due to
low-cost labor and better geographic proximity than Asian countries. Hence, the threat of new entrants was
low in 2024, and it is expected to remain the same during the forecast period.
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The low threat of substitutes, along with the moderate bargaining power of buyers, ensure that, while buyers
can exert pressure on companies, they do not have the option of switching. The availability of limited
substitutes is a factor that mitigates the bargaining power of buyers. The threat of substitutes is expected to
remain unchanged during the forecast period.
There are no substitutes to the market in focus, as IT services include all the significant services required by
enterprises in 2024. Hence, the threat of substitutes was low in 2024, and it is expected to remain the same
during the forecast period.
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There are several regional and global vendors operating in the market in focus. The product differentiation
offered by these vendors is moderate. Moreover, moderate market growth rates and the customers likelihood
of switching service providers increase competition in the market. Such factors rendered the threat of rivalry
moderate in 2024, which is expected to remain the same during the forecast period.
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The five forces are quantified via an index to measure the favorability of market conditions for companies. A
score closer to one indicates market conditions working completely in favor of companies. Conversely, a
score closer to zero indicates market conditions working completely against companies. The market
favorability index will remain unchanged at value of 0.8 between 2024 and 2029, indicating no change in the
market dynamics on account of the five forces.
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The segments covered in this chapter are project oriented service, enterprise cloud computing service, IT
outsourcing service, and IT support and training service.
In 2024, the information technology (IT) services market in Latin America was dominated by project oriented
service segment contributing to a market share of 37.6% and the IT support and training service segment held
the smallest market share of 8.1%.
In 2029, the information technology (IT) services market in Latin America is expected to be dominated by
project oriented service segment contributing to a market share of 36.8% and the IT support and training
service segment is expected to hold the smallest market share of 7.9%.
In the information technology (IT) services market in Latin America, project oriented service segment is
expected to witness an incremental growth of $19,340.1 million, whereas the IT support and training service
segment is expected to drive an incremental growth of $4,239.7 million, from 2024 to 2029.
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The enterprise cloud computing service segment is poised to expand at the highest CAGR of 9.8% gaining
1.8% of the market share during the forecast period. However, IT outsourcing service segment is expected to
grow slowest at a CAGR of 7.9% leading to an erosion of 0.7% of market share during the forecast period.
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Chart on Project oriented service - Market size and forecast 2024-2029 ($ million)
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Data Table on Project oriented service - Market size and forecast 2024-2029 ($ million)
Project oriented service was the largest segment of the market in 2024 and will continue to be the largest
segment of the market in 2029, growing slower than the overall market (8.5%). It will grow at a compounded
annual growth rate of 8.0% between 2024 and 2029. Project oriented service will be the 3rd-fastest growing
segment within the overall market and will grow from $41,172.6 million in 2024 to $60,512.7 million in 2029.
Project oriented service will contribute 35.0% of the incremental growth in the overall market between 2024
and 2029.
Project oriented service contributed 37.6% to the overall market in 2024 and will decrease its contribution to
36.8% of the information technology (IT) services market in Latin America in 2029.
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The project oriented services include system integration service, information technology consulting service,
and application development service. Integration services include project planning, project management, and
detailed design and implementation of application programming interfaces. It also includes system
deployment services like installation, interoperability testing, and other system deployment services.
Consulting services are advisory services that help companies analyze and improve business operational
performance and technology strategies. This service is focused on areas such as e-commerce,
telecommunications, hardware system design and implementation, software design, acquisition and
implementation, website design, and operation. The services in this segment include app creation,
management, distribution, extension services, and conversion of applications to run on different platforms.
There are various vendors that provide project oriented services in Latin America. For instance, Cognizant
provides application development and value management services in Argentina. Cognizant helps clients with
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Chart on Enterprise cloud computing service - Market size and forecast 2024-2029 ($ million)
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Data Table on Enterprise cloud computing service - Market size and forecast 2024-2029 ($ million)
Enterprise cloud computing service was the 2nd-largest segment of the market in 2024 and will continue to be
the 2nd-largest segment of the market in 2029, growing faster than the overall market (8.5%). It will grow at a
compounded annual growth rate of 9.8% between 2024 and 2029. Enterprise cloud computing service will be
the fastest growing segment within the overall market and will grow from $31,859.5 million in 2024 to
$50,880.4 million in 2029. Enterprise cloud computing service will contribute 34.5% of the incremental growth
in the overall market between 2024 and 2029.
Enterprise cloud computing service contributed 29.1% to the overall market in 2024 and will increase its
contribution to 30.9% of the information technology (IT) services market in Latin America in 2029.
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Data Table on Enterprise cloud computing service - Year-over-year growth 2024-2029 (%)
Though this region has some of the worlds poorer nations, and data center property costs might be
accordingly low, Latin American consumers pay the highest premiums in the world. Latin American
companies are making major investments in the cloud to strategically grow their business over the next
decades. Cloud services have been one of the most important tools for Latin American entrepreneurs.
Moreover, the cloud is becoming even more relevant in emerging markets because they offer a unique edge to
local businesses. They are cheaper, and they help structure their business processes and help them advance
technologically. Besides efficiency and operational savings, some organizations turn to the cloud because it
holds the potential to truly revolutionize their business processes and enable them to surpass multiple
technology steps in their digital transformation. Though a new generation of connected consumers in markets
is allowing many businesses to sell and grow via e-commerce, entrepreneurs are moving to the cloud not to
meet consumers online but rather to make their businesses more efficient and save money on operational
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Data Table on IT outsourcing service - Market size and forecast 2024-2029 ($ million)
IT outsourcing service was the 3rd-largest segment of the market in 2024 and will continue to be the 3rd-
largest segment of the market in 2029, growing slower than the overall market (8.5%). It will grow at a
compounded annual growth rate of 7.9% between 2024 and 2029. IT outsourcing service will be the slowest
growing segment within the overall market and will grow from $27,409.6 million in 2024 to $40,128.7 million
in 2029. IT outsourcing service will contribute 23.0% of the incremental growth in the overall market between
2024 and 2029.
IT outsourcing service contributed 25.1% to the overall market in 2024 and will decrease its contribution to
24.4% of the information technology (IT) services market in Latin America in 2029.
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Chart on IT support and training service - Market size and forecast 2024-2029 ($ million)
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Data Table on IT support and training service - Market size and forecast 2024-2029 ($ million)
IT support and training service was the smallest segment of the market in 2024 and will continue to be the
smallest segment of the market in 2029, growing slower than the overall market (8.5%). It will grow at a
compounded annual growth rate of 8.2% between 2024 and 2029. IT support and training service will be the
2nd-fastest growing segment within the overall market and will grow from $8,828.1 million in 2024 to
$13,067.8 million in 2029. IT support and training service will contribute 7.7% of the incremental growth in the
overall market between 2024 and 2029.
IT support and training service contributed 8.1% to the overall market in 2024 and will decrease its
contribution to 7.9% of the information technology (IT) services market in Latin America in 2029.
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Data Table on IT support and training service - Year-over-year growth 2024-2029 (%)
Information technology support and training services include software and hardware support services.
Software support services include new product installation services, installation of product updates, proactive
or reactive on-site services, and support for custom applications or infrastructure software. This segment
does not include software license code updates. These services are basically delivered by product vendors,
consulting firms, or third-party maintainers. Hardware support services are considered preventive and
remedial services that include physical repair, basic installations, contract maintenance, per-incident repair
both on-site and at centralized repair centers, telephone technical troubleshooting, assistance for setups, and
fee-based hardware upgrades. Information technology education and training services include Information
technology education consulting services, certification services, education support services, and information
technology professional learning services. Such factors will drive the growth of the information technology
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The market growth from $109,392.0 million in 2024 to $164,589.7 million in 2029 will create an incremental
growth opportunity of $55,197.7 million during the forecast period. Project oriented service segment will
provide significant opportunities within the information technology (IT) services market in Latin America as it
will contribute the highest to the incremental growth of 35.0% in the overall market between 2024 and 2029.
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The segments covered in this chapter are hosted service and managed service.
In 2024, the information technology (IT) services market in Latin America was dominated by hosted service
segment contributing to a market share of 55.9% and the managed service segment held the smallest market
share of 44.1%.
In 2029, the information technology (IT) services market in Latin America is expected to be dominated by
hosted service segment contributing to a market share of 58.7% and the managed service segment is
expected to hold the smallest market share of 41.3%.
In the information technology (IT) services market in Latin America, hosted service segment is expected to
witness an incremental growth of $35,519.2 million, whereas the managed service segment is expected to
drive an incremental growth of $19,678.5 million, from 2024 to 2029.
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The hosted service segment is poised to expand at the highest CAGR of 9.6% gaining 2.8% of the market
share during the forecast period. However, managed service segment is expected to grow slowest at a CAGR
of 7.1% leading to an erosion of 2.8% of market share during the forecast period.
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Data Table on Hosted service - Market size and forecast 2024-2029 ($ million)
Hosted service was the largest segment of the market in 2024 and will continue to be the largest segment of
the market in 2029, growing faster than the overall market (8.5%). It will grow at a compounded annual growth
rate of 9.6% between 2024 and 2029. Hosted service will be the fastest growing segment within the overall
market and will grow from $61,161.1 million in 2024 to $96,680.3 million in 2029. Hosted service will
contribute 64.3% of the incremental growth in the overall market between 2024 and 2029.
Hosted service contributed 55.9% to the overall market in 2024 and will increase its contribution to 58.7% of
the information technology (IT) services market in Latin America in 2029.
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Hosted services are outsourced information technology service systems and functions. A hosted service
provider owns and oversees infrastructure and software and manages them for the enterprises. The
enterprise has to pay a subscription fee to service providers for rendering their service. Housing and hosting
solutions address a major risk for companies that have their servers at their own facilities, providing a safe,
reliable, and flexible environment with redundancy. Companies and institutions that accommodate their
servers and communication equipment within their own offices incur an unnecessary risk, which may have
serious consequences for their operational continuity. These facilities are usually provided with basic
amenities for power, air conditioning, and security. Hosted service provides a safe, reliable, and flexible
environment with redundancy, which permits customers to use either their own infrastructure or that provided
by SONDA. This ensures that data, which is their primary corporate asset, is always available to support their
business processes. In addition, hosted services free physical space and resources for other important
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Data Table on Managed service - Market size and forecast 2024-2029 ($ million)
Managed service was the smallest segment of the market in 2024 and will continue to be the smallest
segment of the market in 2029, growing slower than the overall market (8.5%). It will grow at a compounded
annual growth rate of 7.1% between 2024 and 2029. Managed service will be the slowest growing segment
within the overall market and will grow from $48,230.9 million in 2024 to $67,909.4 million in 2029. Managed
service will contribute 35.7% of the incremental growth in the overall market between 2024 and 2029.
Managed service contributed 44.1% to the overall market in 2024 and will decrease its contribution to 41.3%
of the information technology (IT) services market in Latin America in 2029.
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The managed service transfers the responsibility for managing various aspects of information technology
infrastructure, information technology support, and enterprise cloud at the enterprise premise by a third-party
service provider. The service provider ensures that service levels meet customer requirements, information
technology costs are reduced, users are satisfied, and working capital is liberated. This service provider
should ensure that the information technology infrastructure, information technology support, and enterprise
cloud are more efficient. Latin America is among the fastest-growing markets with information technology
capabilities. This has led the information technology service market in this region to adopt the latest and
innovative technologies and tools to fulfill strategic objectives. In various countries of Latin America, such as
Argentina, Brazil, Venezuela, and Chile, the managed service market is emerging rapidly due to growing
strategic partnerships with managed service vendors. These partnerships will support this region by
increasing shareholder value, along with market revenues, as these services can be deployed in less time.
Also, SONDA, which is one of the major players in Latin America for information technology services, provides
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The market growth from $109,392.0 million in 2024 to $164,589.7 million in 2029 will create an incremental
growth opportunity of $55,197.7 million during the forecast period. Hosted service segment will provide
significant opportunities within the information technology (IT) services market in Latin America as it will
contribute the highest to the incremental growth of 64.3% in the overall market between 2024 and 2029.
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Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase
criteria
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To assess the price sensitivity of the information technology (IT) services market in Latin America, the drivers
of price sensitivity are analyzed. The adoption lifecycle of information technology (IT) services market in Latin
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Among the price sensitivity factors, purchase differentiation was an important driver in making purchase
decision among customers. However, purchase as the key cost was of high importance on making a decision
and quality factor contributed considerably on the same. Due to these factors, the overall price sensitivity for
customers was high. The adoption lifecycle of the information technology (IT) services market in Latin
America was analyzed to be in early adopters in 2024. It is expected to be in the early majority during the
forecast period. It is concluded that in market in focus, the purchasing cost among customers is high and the
purchase criticality is observed to be high. Brazil is expected to have the high adoption rate during the
forecast period. Mexico and Rest of Latin America are expected to have the moderate adoption rate during the
forecast period. Argentina and Colombia are expected to have the low adoption rate from 2024 to 2029. The
key purchasing criteria for customers in the information technology (IT) services market in Latin America were
regulatory compliance, innovation, reliability, service, quality, and price.
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The regions covered in this chapter are Brazil, Mexico, Argentina, Colombia, and Rest of Latin America.
In 2024, the information technology (IT) services market in Latin America was dominated by Brazil
contributing to a market share of 49.2% and the Colombia held the smallest market share of 6.5%.
In 2029, the information technology (IT) services market in Latin America is expected to be dominated by
Brazil contributing to a market share of 53.0% and the Colombia is expected to hold the smallest market share
of 5.8%.
In the information technology (IT) services market in Latin America, Brazil is expected to witness an
incremental growth of $33,523.1 million, whereas the Rest of Latin America is expected to drive an
incremental growth of $6,796.2 million, from 2024 to 2029.
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The Brazil is poised to expand at the highest CAGR of 10.2%, gaining 3.8% of the market share during the
forecast period. However, Colombia is expected to grow slowest at a CAGR of 6.2%, leading to an erosion of
0.7% of market share during the forecast period.
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Brazil will generate growth in all the years of the forecast period between 2024 and 2029. The year-on-year
growth during this period will vary between 9.3% and 11.1%.
Brazil was the largest segment in the market in 2024 and will continue to be the largest segment in 2029. It
will grow at a compounded annual growth rate of 10.2% between 2024 and 2029, which is faster than that of
the overall market. It will be the fastest growing country within the overall market and will grow from
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Brazil contributed 49.2% to the information technology (IT) services market in Latin America in 2024, and its
contribution will increase to 53.0% in 2029.
Brazil is one of the fastest-growing economies in Latin America, experiencing the highest information
technology (IT) investment compared to other countries in the region. This robust IT investment is driving the
growth of the information technology services market in Brazil. The market is influenced by the Brazilian
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IT service providers in Brazil are also targeting small and medium-sized businesses (SMBs) and diversifying
their offerings to increase revenue. The SMB market in Brazil is substantial, with over 5 million SMBs
contributing significantly to the economy. Providers like SONDA offer managed device services, including
managed PC, print, server, network, and backup services, to cater to this segment.One of the fastest-growing
IT services in Brazil is application services, driven by the increasing need for enterprises to have better control
and understanding of business processes. The application server market in Brazil is expected to grow
significantly, reflecting the rising demand for these services.
The rising demand for IT services is also fueled by the growing need for network infrastructure. The network
infrastructure market in Brazil is projected to reach substantial growth, driven by the increasing adoption of
cloud-based services and the growing number of Internet of Things (IoT) devices.
Overall, the information technology services market in Brazil is expected to grow significantly during the
forecast period, supported by strong investments in cloud solutions, targeted services for SMBs, and the
rising demand for application and network infrastructure services.
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Mexico will generate growth in all the years of the forecast period between 2024 and 2029. The year-on-year
growth during this period will vary between 6.4% and 8.2%.
Mexico was the 2nd-largest segment in the market in 2024 and will continue to be the 2nd-largest segment in
2029. It will grow at a compounded annual growth rate of 7.2% between 2024 and 2029, which is slower than
that of the overall market. It will be the 2nd-fastest growing country within the overall market and will grow
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Mexico contributed 20.2% to the information technology (IT) services market in Latin America in 2024, and its
contribution will decline to 19.1% in 2029.
The information technology services market in Mexico offers great opportunities to enterprises. Mexico is an
attractive market for technology products related to the information technology services industry and a strong
global player in the business process outsourcing (BPO) market. Mexico is also developing information
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The country is following the global trend toward a service-centric information technology industry, wherein
most technologies are offered under a service contract or lease. There is a growing interest in SaaS,
infrastructure as a service (IaaS), and platforms as a service (PaaS). Thus, the information technology
services market in Mexico is expected to grow during the forecast period.
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Argentina will generate growth in all the years of the forecast period between 2024 and 2029. The year-on-
year growth during this period will vary between 6.0% and 7.7%.
Argentina was the 3rd-largest segment in the market in 2024 and will continue to be the 3rd-largest segment
in 2029. It will grow at a compounded annual growth rate of 6.8% between 2024 and 2029, which is slower
than that of the overall market. It will be the 3rd-fastest growing country within the overall market and will
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Argentina contributed 7.3% to the information technology (IT) services market in Latin America in 2024, and
its contribution will decline to 6.8% in 2029.
The information technology services market in Argentina is expected to grow during the forecast period
because of the strong information technology infrastructure and a large tech-savvy and highly skilled pool of
software engineers who are ready to work at a reasonable price. The strong support from the Government of
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Colombia will generate growth in all the years of the forecast period between 2024 and 2029. The year-on-year
growth during this period will vary between 5.4% and 7.1%.
Colombia was the 4th-largest segment in the market in 2024 and will continue to be the 4th-largest segment
in 2029. It will grow at a compounded annual growth rate of 6.2% between 2024 and 2029, which is slower
than that of the overall market. It will be the slowest growing country within the overall market and will grow
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Colombia contributed 6.5% to the information technology (IT) services market in Latin America in 2024, and
its contribution will decline to 5.8% in 2029.
The information technology services market in Colombia is driven by an increasingly dynamic competitive
environment, with a diverse array of participants from various industry sectors, including traditional business
service providers, telcos, equipment vendors, and IT players. This diversity fosters a competitive landscape
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The entry of numerous manufacturing and retail companies into the Colombian market is significantly
impacting the demand for IT services. These sectors require extensive IT support to manage their operations
efficiently, driving the growth of the information technology services market. Additionally, the Colombian
governments focus on digital transformation initiatives, such as the national ICT policy, is fueling the growth
of the IT market. The governments efforts to enhance digital infrastructure and promote the adoption of
advanced technologies are creating a conducive environment for IT service providers.
The market is also seeing increased investment in cloud solutions, AI, and big data analytics, which are
becoming essential for businesses to stay competitive. Companies like IBM and Microsoft are expanding their
cloud services in Colombia, providing scalable and flexible solutions that cater to the needs of various
industries.
Overall, the dynamic competitive environment, coupled with the influx of manufacturing and retail companies
and the governments digital initiatives, is expected to drive significant growth in the information technology
services market in Colombia during the forecast period.
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Chart on Rest of Latin America - Market size and forecast 2024-2029 ($ million)
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Data Table on Rest of Latin America - Market size and forecast 2024-2029 ($ million)
Rest of Latin America will generate growth in all the years of the forecast period between 2024 and 2029. The
year-on-year growth during this period will vary between 6.0% and 7.1%.
Rest of Latin America was the smallest segment in the market in 2024 and will continue to be the smallest
segment in 2029. It will grow at a compounded annual growth rate of 6.5% between 2024 and 2029, which is
slower than that of the overall market. It will be the 4th-fastest growing country within the overall market and
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Rest of Latin America contributed 16.8% to the information technology (IT) services market in Latin America
in 2024, and its contribution will decline to 15.3% in 2029.
Rest of Latin America, including Chile, Uruguay, Peru, and Cuba, are experiencing a significant surge in the
information technology services market. This growth is driven primarily by the increasing demand for
managed services from end-user industries such as telecommunications, healthcare, and finance.
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Emerging technologies are also playing a crucial role in this expansion. Innovations such as cloud computing,
data analytics, speech recognition, omnichannel capabilities, digital services, and artificial intelligence are
driving the adoption of new business process management skills and expertise. These advancements enable
organizations to optimize their operations and offer enhanced services to their customers.
As a result, the information technology services market in the region is expected to witness significant growth
during the forecast period, driven by both technological advancements and favorable economic conditions.
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The market growth from $109,392.0 million in 2024 to $164,589.7 million in 2029 will create an incremental
growth opportunity of $55,197.7 million during the forecast period. Brazil will provide significant opportunities
within the information technology (IT) services market in Latin America, as it will contribute the highest to the
incremental growth of 60.7% in the overall market between 2024 and 2029.
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Firms are implementing IT services such as managed services and IT outsourcing services to focus on their
core business process and outsource IT functions to improve operational efficiency. Companies outsource IT-
related requirements, such as application and infrastructure management, to IT outsourcing service providers.
This is supporting companies to achieve their vision and mission by putting their resources and people skills
into their core business. It also helps improve their operational efficiency, as firms do not need to invest in
resources or be concerned about managing limited available resources. IT outsourcing service providers offer
services that are available worldwide. Companies can avail these services, as globalization allows businesses
to access services from anywhere. There are several business projects in which direct contracting and hiring
of experts must be done, incurring an additional expenditure for acquiring human resources. In addition,
supervision to implement a project is also necessary, but this can become problematic because many IT
managers may not have the domain expertise to maintain complex IT projects. IT outsourcing service
providers have delivery teams and operational structures that allow them to minimize costs. Hence, firms can
focus on their competencies and leave the complex IT tasks to outsource service providers. Companies prefer
to outsource their IT support services, wherein IT outsourcing service providers are equipped with innovative
technology and domain experts. Thus, raising focus on core competencies and improving efficiency is one of
the major drivers for the growth of the information technology services market in Latin America during the
forecast period.
The increasing use of internet-connected devices in Latin America is expected to contribute significantly to
the growth of the information technology services market in Latin America by providing managed services to
these devices. Trends such as connected cars, connected homes, and smart cities are gaining popularity.
Sectors such as manufacturing, utilities, retail, automotive, and social media also use IoT. IoT devices demand
an energy-efficient network of smart nodes that must always be interconnected. This also increases the use
of the Internet and infrastructure services, which helps in managing these devices. Big data analytics has
triggered the high-tech expansion of data centers. On-the-go business is a popular trend, and it has been
made viable through technological advances within devices such as mobile phones and tablets. Data is
continuously being fed into storage systems. For predictive and consumer analytics operations, enterprises
use these big data sets. Enterprises have started procuring high-performance storage in data centers, such as
storage area network (SAN) and network-attached storage (NAS) systems, to enhance their performance.
Thus, with an increase in the demand for big data analytics, the demand for IT services will also rise.
Enterprise data centers are constantly upgraded to satisfy big data storage and processing needs. In addition,
the forecast period will witness the emergence and growth of edge computing facilities, where the possibility
of IT services adoption is higher. Thus, the growing demand for IoT and big data operations will be a major
driver for the growth of the information technology services market in Latin America during the forecast
period.
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An SLA establishes a contract between the service provider (either internal or external) and the end-user. It
covers all possible expected levels of services from the service provider. SLAs are output-based and
specifically define the benefits and support received by the customer during the course of the agreement.
However, SLAs do not cover the services delivered. End-users are also uninformed about full services to be
included in SLAs to protect their business. They also lack experience in terms of negotiating SLAs before
opting for cloud services and, most of the time, realize it later. Therefore, service providers need to be clear
and transparent regarding their SLAs to increase the adoption of information technology services. Apart from
strictly meeting the SLA commitments, information technology service providers should also provide
statistics regarding uptime, downtime, and outage frequency. This will help users understand risk factors and
plan for the worst scenarios. Customers also need to monitor the efficiency of their information technology
systems to evaluate if information technology services meet their business objectives. However, the lack of
quality standards in SLAs can become a major challenge for the growth of the information technology
services market in Latin America during the forecast period.
Data privacy and security risk are the major barriers to the adoption of cloud services in organizations,
especially in the public cloud. Cloud security management is a challenging task for vendors to protect online
data. Online digital files need to be secured from unauthorized access to the cloud-based information
technology infrastructure. Cloud infrastructures are based on many patchworks of open-source code, which
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can bring flaws to the cloud systems. The public cloud infrastructure is more affected due to the glitches in
source codes, as public clouds are multi-tenant that can affect various applications running in a cloud
environment.
Cyber-attackers can easily gain access to cloud-based data storage systems as cloud-based infrastructure is
based on open architecture and shared resources. In August 2024, Assured Data Protection announced the
expansion of its operations into Latin America, partnering with Rubrik to offer advanced cyber resiliency
solutions. This joint venture aims to provide 24x7 managed services to enterprises across the region, ensuring
rapid recovery from cyberattacks. A new Center of Excellence in Costa Rica will support this initiative, staffed
by highly trained engineers to deliver high-quality, round-the-clock support.
Using cloud-powered technologies, service providers can gain access to the companys business data.
Meanwhile, the cloud, being a public service, exposes cloud service providers to security challenges on a
routine basis. The ease of procuring and accessing cloud services can also give users the ability to scan,
identify, and exploit loopholes and vulnerabilities within a system. In a multi-tenant cloud architecture, where
multiple users are hosted on the same server, a hacker might try to break into the data of other users hosted
and stored on the same server. Vendors should encrypt clients data and implement multi-factor
authentication systems such as biometrics for the authorization of users in the clients information technology
systems. Vendors should also follow the regulatory guidelines for cloud security management. Therefore,
data privacy and security risk in cloud-based services is a major challenge for the growth of the information
technology services market in Latin America during the forecast period.
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The adoption of advanced technology in many industry verticals, including banking, financial services, and
insurance (BFSI); telecom; and public-sector firms, is increasing significantly, which can lead to system
integration and interoperability issues. Vendors should provide unified information technology solutions that
can be seamlessly integrated with the information technology infrastructure of organizations. Technical
glitches during operations can incur a cost to the organization and reduce operational efficiencies. System
integration and interoperability issues arise mostly when organizations update their information technology
systems or merge their information technology infrastructure with acquired companies. Integration of
multiple information technology systems on traditional information technology infrastructure can create a lot
of cross-platform system integration issues. Therefore, vendors should seamlessly integrate multiple
information technology systems in organizations with the help of an information technology team equipped
with the technical expertise to manage information technology infrastructure. Thus, system integration and
interoperability issues will be a major challenge for the growth of the information technology services market
in Latin America during the forecast period.
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However, in 2024, data privacy and security risk in cloud-based services hindered market growth significantly.
Also, lack of quality standards in SLAs and system integration and interoperability issues were observed to
challenge market growth moderately.
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Several enterprises across the world are integrating AI to develop and exploit data from information
technology services. Integrating AI in information services helps automate several processes and enhances
process efficiency. Besides, in enterprises, half of the employees spend time doing paperwork. This reduces
the overall return on investment (ROI) of enterprises and increases their costs. Thus, enterprises are opting for
information technology services integrated with advanced technologies such as AI. Integrating AI in
information technology services enhances the efficiency and process integrity of information services.
Besides, AI is used to categorize and tag the information making it easy to find the information or data in the
future. There are several other advantages of AI in information services, such as applying structure to
unstructured data, streamlining information, enhancing information security, and improving data quality. Such
benefits of AI in information services are anticipated to increase the efficiency of vendors operating in the
information technology services market in Latin America in the future. Thus, the emergence of AI in
information management is one of the major trends which is expected to drive the growth of information
technology services in Latin America during the forecast period.
Information technology service providers access large amounts of data that are analyzed to offer various
solutions for organizations. Enterprises usually run big data analytics on their internal customer and
operational database and external social media sites to understand the reach and impact of their products.
information technology service providers offer services that are used to provide quantitative and qualitative
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insights. Big data analytics and market research analysis are used in tandem, and the derived insights can be
helpful to enterprises. For instance, many companies use big data tools to run predictive analytics processes
on their customer information databases. The results of such analyses can be appended to the market survey
data to arrive at predictive segmentation values. In addition, tools such as Facebook Insights, Google
Analytics, Open Calais, and KNIME Analytics are being used by information service providers to add value to
their offerings. Such tools will drive the growth of the information technology services market in Latin America
during the forecast period.
Enterprise mobility has gained ground in the corporate world in response to employees preferences to use
their smartphones, tablets, and portable computers at work. BYOD demands specific management and
information technology service delivery frameworks to guarantee electronically secure and productive work
environments. The major focus of companies is to provide the right mobile devices to their employees. Thus,
the implementation of the BYOD policy is an emerging trend among various enterprises. The growth in BYOD
leads to a greater number of operating systems and mobile devices such as iOS, Android, Windows,
smartphones, and tablets in the company that can access secure computer networks. The reason for the
implementation of the BYOD program is to provide a cost-effective solution, mobility to employees, and
enhanced productivity. The BYOD program helps firms to reduce their information technology costs by
reducing capital expenditure and improving efficiency. To implement the BYOD program successfully, vendors
are providing information technology solutions to provide an environment where the workforce of
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The information technology services market in Latin America is fragmented, with the presence of several
global and regional vendors. The existing vendors in the market are continuously investing in research and
development to advance their offerings and increase their consumer base. On the other hand, several new
players are expected to enter the market during the forecast period with innovative solutions. This is
increasing the competition among market vendors. Information technology service providers offer services
relevant to any process in the value chain of businesses, such as finance, marketing, operations, global
relations, and customers. The dynamically changing consumer requirements are encouraging vendors to
develop new solutions to meet the demands of consumers. Thus, vendors are investing heavily in retaining
and expanding their consumer base. This is expected to keep the market competitive during the forecast
period.
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To assess the supply side and the demand side challenges faced by companies in the market, the interplay of
inputs for companies with the differentiated product and service outputs as presented to the customer are
analyzed. The most important inputs for companies in the information technology (IT) services market in
Latin America are capex, technology and brand. The next set of inputs in order of importance are research and
development and labor. Price, quality, regulatory compliance, and innovation were all very important factors of
differentiation in 2024.
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The potential for the disruption of the market landscape was moderate in 2024, and its threat is expected to
remain unchanged by 2029.
While the disruption threats are strategic in nature, operational risks for suppliers have been mapped based
on their negative business impact and their probability of occurrence.
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Companies are included in the report based on their offerings in the information technology (IT) services
market in Latin America. They are identified based on their revenues, market dominance, geographical
presence, product portfolio, and financials. Nineteen important companies in the information technology (IT)
services market in Latin America have been covered in this report. The contribution of the revenue from the
information technology (IT) services market in Latin America to the overall business of a company is analyzed
via the influence index. For all the nineteen companies, the revenue from the information technology (IT)
services market in Latin America contributes to the overall revenue of the company but is not a key
component of the companies revenue and hence all companies have been classified as contributing on the
influence index. Given that a majority of the companies covered are classified as contributing on the influence
index, changes in the market dynamics may not significantly impact the business prospects of companies in
the information technology (IT) services market in Latin America.
Companies covered
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Accenture PLC 1
Alphabet Inc. 1
Amazon.com Inc. 1
Microsoft Corp. 2
PricewaterhouseCoopers LLP 3
Atos SE 4
Oracle Corp. 5
SAP SE 5
Salesforce Inc. 5
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The market positioning of companies has been arrived at considering both internal and external analyses of
the companies covered in the report. As a part of the internal analysis, the offerings of a company are
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Accenture PLC is a public company headquartered in Ireland. It is a global company generating $ 64,896.4
million in revenues and has around 733,000 employees. Its revenue from the information technology (IT)
services market in Latin America contributes to its overall revenues along with its other offerings, but it is not
a key revenue stream for the company.
North America Under this segment, the company sells and delivers
full range of its services and capabilities to clients
across North America.
Europe Under this segment, the company sells and delivers
full range of its services and capabilities to clients
across Europe.
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Segment Focus
Europe Medium
SWOT
Components Factors
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Alphabet Inc. is a public company headquartered in US. It is a global company generating $ 307,394.0 million
in revenues and has around 182,502 employees. Its revenue from the information technology (IT) services
market in Latin America contributes to its overall revenues along with its other offerings, but it is not a key
revenue stream for the company.
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Segment Focus
SWOT
Components Factors
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Amazon.com Inc. is a public company headquartered in US. It is a global company generating $ 574,785.0
million in revenues and has around 1,525,000 employees. Its revenue from the information technology (IT)
services market in Latin America contributes to its overall revenues along with its other offerings, but it is not
a key revenue stream for the company.
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Segment Focus
International Medium
SWOT
Components Factors
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Atos SE is a public company headquartered in France. It is a global company generating $ 11,565.5 million in
revenues and has around 95,140 employees. Its revenue from the information technology (IT) services market
in Latin America contributes to its overall revenues along with its other offerings, but it is not a key revenue
stream for the company.
Atos SE - Overview
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Segment Focus
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SWOT
Components Factors
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Capgemini Services SAS is a public company headquartered in France. It is a global company generating $
24,359.7 million in revenues and has around 145,800 employees. Its revenue from the information technology
(IT) services market in Latin America contributes to its overall revenues along with its other offerings, but it is
not a key revenue stream for the company.
Applications and Technology Under this segment, the company offers a local
technology services model, working closely with
clients teams.
Engineering and Operations Under this segment, the company includes the
business services as well as installation and
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Segment Focus
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SWOT
Components Factors
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Cisco Systems Inc. is a public company headquartered in US. It is a global company generating $ 53,803.0
million in revenues and has around 90,400 employees. Its revenue from the information technology (IT)
services market in Latin America contributes to its overall revenues along with its other offerings, but it is not
a key revenue stream for the company.
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Segment Focus
Americas High
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APAC Low
SWOT
Components Factors
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Dell Technologies Inc. is a public company headquartered in US. It is a global company generating $ 88,425.0
million in revenues and has around 120,000 employees. Its revenue from the information technology (IT)
services market in Latin America contributes to its overall revenues along with its other offerings, but it is not
a key revenue stream for the company.
Infrastructure Solutions Group (ISG) Under this segment, the company offers multi cloud
environments, machine learning, artificial intelligence,
and data analytics. ISG helps customers simplify,
streamline, and automate cloud operations.
Client Solutions Group Under this segment, the company offers branded
personal computers (PCs) including notebooks,
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Segment Focus
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Components Factors
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Deloitte Touche Tohmatsu Ltd. is a privately held company headquartered in UK. It is a global company
generating over $1,000 million in revenues, and with over 1,000 employees. Its revenue from the information
technology (IT) services market in Latin America contributes to its overall revenues along with its other
offerings, but it is not a key revenue stream for the company.
SWOT
Components Factors
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Ernst and Young Global Ltd. is a privately held company headquartered in UK. It is a global company
generating $ 0 -100 million in revenues, and with over 1,000 employees. Its revenue from the information
technology (IT) services market in Latin America contributes to its overall revenues along with its other
offerings, but it is not a key revenue stream for the company.
SWOT
Components Factors
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HCL Technologies Ltd. is a public company headquartered in India. It is a global company generating $
13,480.3 million in revenues and has around 225,944 employees. Its revenue from the information technology
(IT) services market in Latin America contributes to its overall revenues along with its other offerings, but it is
not a key revenue stream for the company.
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Segment Focus
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Components Factors
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Hewlett Packard Enterprise Co. is a public company headquartered in US. It is a global company generating $
29,135.0 million in revenues and has around 62,000 employees. Its revenue from the information technology
(IT) services market in Latin America contributes to its overall revenues along with its other offerings, but it is
not a key revenue stream for the company.
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Segment Focus
Compute High
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Storage Low
SWOT
Components Factors
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International Business Machines Corp. is a public company headquartered in US. It is a global company
generating $ 61,860.0 million in revenues and has around 187,000 employees. Its revenue from the
information technology (IT) services market in Latin America contributes to its overall revenues along with its
other offerings, but it is not a key revenue stream for the company.
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Segment Focus
Software High
Consulting Medium
Infrastructure Medium
Financing Low
SWOT
Components Factors
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KPMG International Ltd. is a privately held company headquartered in The Netherlands. It is a global company
generating over $1,000 million in revenues, and with over 1,000 employees. Its revenue from the information
technology (IT) services market in Latin America contributes to its overall revenues along with its other
offerings, but it is not a key revenue stream for the company.
SWOT
Components Factors
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Microsoft Corp. is a public company headquartered in US. It is a global company generating $ 245,122.0
million in revenues and has around 221,000 employees. Its revenue from the information technology (IT)
services market in Latin America contributes to its overall revenues along with its other offerings, but it is not
a key revenue stream for the company.
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Segment Focus
SWOT
Components Factors
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SWOT
Components Factors
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Information technology services are defined as applications of businesses and technical expertise that allow
organizations to manage and optimize or access information and business processes. Information
technology services include various categories such as data processing and outsourcing, internet services
and infrastructure, information technology consulting, and other services.
15.1.2 Objectives
• To detail the major factors influencing the market (drivers, opportunities, industry-specific challenges, and
other critical issues)
• To determine the geographic breakdown of the market in terms of detailed analysis and impact
• To analyze business dimensions with an eye on individual growth trends and the contribution of upcoming
market segments
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• The selling price has been considered for market analysis. Selling price refers to the price at which
manufacturers or service providers sell their products or services.
• For readability, all figures have been rounded off (as necessary). Therefore, the numbers presented
throughout this report may not add up precisely to the totals provided.
• Revenues of vendors mentioned in this report have been obtained from the latest available annual reports.
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• Countries in rest of the Latin America includes Chile, Uruguay, Peru and Cuba.
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Inclusions checklist
Inclusion
Service revenue
License revenue
Exclusions checklist
Exclusion
Captive consumption
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The currency conversion rates used in this report are given in the table below.
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Research methodology
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Information sources
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Data validation
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Data synthesis
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The abbreviations used in this report are listed in the table below.
List of abbreviations
Abbreviations Expansion
AI artificial intelligence
IT information technology
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SaaS software-as-a-service
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