IT Trends 2024: international market
In recent decades, the global IT market has reached colossal proportions, becoming the most important driver of economic and technological progress. However, against the backdrop of rapid innovation and constant growth, challenges are emerging that change the rules of the game. Invited expert, Sergey Putyatinsky, business speaker, management expert, author of approaches to managing the technological function in a corporation, will talk about the main aspects of the development of the international IT market.
Overheating of the global IT market: shortage of personnel and stratification
The international IT market is showing clear signs of overheating, reminiscent of the dot-com bubble of the early 2000s, when the value of startups grew rapidly against the backdrop of IPOs and capitalization growth. Today, similar speculative growth leads to the market value of the largest companies many times exceeding their real income. High investor expectations, fueled by the media, create the illusion that investments in IT automatically lead to increased efficiency.
High P/E and P/S ratios of large IT companies indicate that the market is overheated, when the value of shares greatly exceeds the actual income and revenue of these companies.
The industry is expected to see an increase in startups and funding in the coming years, but unless companies can retain skilled workers and manage expectations, they will face a talent shortage. Competition for talent will intensify, and the low barrier to entry will attract newcomers to the industry, lowering the average skill level.
At the same time, the world is experiencing a stratification in the corporate sector. The main beneficiaries of technological growth are the giants of Big Tech. If 20 years ago the American stock market was dominated by banks and oil companies, today their places have been taken by the largest technology corporations. Big Tech has the resources to buy up startups, while traditional companies with their inert processes face difficulties in innovation.
Corporations vs. Traditional Companies
For example, the banking sector in Europe and the US still operates on IBM's AS/400 platform. Once cutting-edge, it now limits banks' capabilities, but replacing it requires enormous costs and risks. The result is outdated online services and slow operation, while Big Tech is actively updating its platforms and becoming technology providers for various industries.
Quantum computing
Despite popular belief, quantum computers are unlikely to be able to solve all problems for us, and the prospects of connecting to a “single brain” remain more like science fiction. In the next 5 years, these technologies will learn to speed up computing processes and solve problems for which traditional methods are not always suitable, such as encryption. There is currently a library of problems and algorithms for quantum computing, including about 200-300 algorithms, and it continues to expand as researchers develop new methods for solving complex problems using quantum technologies.
Augmented reality
Augmented and virtual reality technologies are already being actively used. They combine the real world with virtual elements, superimposing computer images on the environment or creating completely virtual spaces. Mass testing of the technology began with the game Pokémon Go on millions of users. Today, they have found application in education, medicine and production, where they help employees practice skills without risking real processes.