The Japanese IT market is expected to grow at a compound annual growth rate (CAGR) of 5.5% from 2022 to 2027.
- The Japanese government’s commitment to DX. The Japanese government has set a goal of becoming a “digital nation” by 2025. This has led to a number of initiatives to promote DX, including tax breaks for businesses that adopt DX technologies and funding for research and development in the area.
- The growth of the Japanese IT market. The Japanese IT market is expected to grow at a compound annual growth rate (CAGR) of 5.5% from 2022 to 2027. This growth is being driven by a number of factors, including the increasing adoption of cloud computing, the growth of e-commerce, and the need for businesses to improve their operational efficiency.
- The availability of skilled offshore IT talent. There is a large pool of skilled IT talent available in offshore countries, such as India and the Philippines. This talent is often available at a lower cost than in Japan, making it an attractive option for businesses looking to outsource their DX projects.
- The ease of doing business in offshore countries. Many offshore countries have made it easier for businesses to do business there. This includes providing a number of incentives, such as tax breaks and streamlined regulatory approval processes.
These are just some of the factors that are driving the growth of offshore business in the Japanese DX market. As the Japanese government continues to promote DX and the IT market continues to grow, we can expect to see even more growth in this area in the years to come.
Here are some specific examples of offshore businesses that are already active in the Japanese DX market:
- Infosys: Infosys is an Indian IT services company that has been providing DX services to Japanese businesses for many years. Infosys has a strong track record of success in this market, and it is well-positioned to continue to grow its business in Japan.
- HCL Technologies: HCL Technologies is another Indian IT services company that is active in the Japanese DX market. HCL Technologies has a strong focus on cloud computing and big data, and it is well-positioned to help Japanese businesses adopt these technologies.
- Wipro: Wipro is a third Indian IT services company that is active in the Japanese DX market. Wipro has a strong focus on innovation, and it is well-positioned to help Japanese businesses develop new DX solutions.
These are just a few examples of the many offshore businesses that are active in the Japanese DX market. As the Japanese DX market continues to grow, we can expect to see even more offshore businesses entering this market in the years to come.