Bangalore:  IBM has announced that it continues to gain market share and touched 18.2 percent in Infrastructure Services market share, 8 percentage points ahead of its nearest competitor according to 1H 2011 IDC Asia/Pacific Half Yearly Services Tracker. Extending the position in overall Services in 1H 2011, IBM has an 11.9 percent market share, two times its nearest competitor.

Strategic Outsourcing (SO) contributed significantly to the rise in the market share of IBM Global Technology Services (GTS), the Infrastructure Services business arm of IBM, in 1H11 by growing to 31.0 percent share, 13.9 percentage points ahead of its nearest competition. As per IDC, IBM's SO revenue grew at 21 percent, which is 2 percent more than the industry average of 19 percent. IBM maintained its market in Integrated Technology Services (ITS) and Maintenance & Technical Support Services (MTSS) in 1H11. This was driven by a rapid growth in managed services.  As per IDC, IBM has a 10 percent market share each in ITS and MTS, around 5 percentage and 4 percentage points ahead of its nearest competition respectively.

In 1H IBM witnessed significant traction beyond Telecom across sectors including Financial Services, Education, Manufacturing and from customers in tier two and tier three cities. Commenting on the company’s continued strong growth and market dominance, Ashish Kumar, General Manager, Global Technology Services, IBM India/ South Asia, said, “It’s a matter of great pride for IBM to not only be the market leader but to have increased its lead over competition. We will continue to redefine infrastructure landscape with our broad based skill sets spanning industries with technologies like Green Data Centers, Integrated Managed Services, Cloud, Smarter Planet solutions, etc thereby transforming business models and further consolidating our leadership position in the market.” Adding further, Ashish said, “With outcome based models becoming very popular, clients are looking for partners with experience and proven track record. The key differentiator between IBM & any other Services company is a big portion of $ 6 billion investment in R&D is being spent on Services advancing our capabilities for innovative industry solutions.”

"Continued focus on the market and new initiatives give vendors the edge to retain existing customers as well as new client’s acquisition. The key is customer centric approach and to focus energies around themes which will rule the market growth in immediate future like managed services, flexibility through cloud, mobility, infrastructure services, consolidation etc" says Nirupam Chaudhuri, Research Manager - Software and Services, IDC.