ICT industry: strong sales and optimistic about the future
The Swiss ICT market continues to grow thanks to investments in the IT sector and is more optimistic about the future in 2018 than it has been for seven years. In 2017, the ICT industry generated total sales of CHF 31.4 billion (+ 2.3 percent).
The Swiss ICT market grew by 2.3 percent in 2017, generating total sales of CHF 31.4 billion. This is shown by the latest data from the European Technology Observatory (EITO), which was presented at the Swico annual media conference in Zurich on January 16. For 2018, EITO again forecasts a 2.2 percent increase in sales for the Swiss ICT industry. The European ICT market is also doing well: Total revenue grew by 2.5 percent in 2017 to 688 billion euros.
Successfully representing the interests of the ICT industry
Swico's intensive lobbying for the interests of the ICT industry seems to be paying off: There was a clear increase in Parliament's understanding of the need to revise the labor law. The Federal Council has made the required upward adjustments to the quotas. Furthermore, it is becoming apparent that the referendum against the network blocks in the Gaming Act, which Swico has strongly supported, will be carried out.
As the trade association of Digital Switzerland, Swico will continue to campaign for a free and secure network in 2018, for example in the consultation on the nationwide cyber strategy or in the vote on the Money Gaming Act. Another topic remains the Switzerland-wide electronic identity (eID): "A practicable eID is the central prerequisite for numerous new digital business models," says Swico CEO Jean-Marc Hensch. Politicians tend to respond reflexively to technical innovations with new bans and restrictions. Therefore, Jean-Marc Hensch is convinced that the strong voice of the supplier side is needed more than ever. "We are the association of digitalizers. If our member companies can't do their job, then the Swiss economy as a whole has a problem."
Arrived in French-speaking Switzerland
The Swico community is growing: In 2017, the association once again welcomed numerous new members and for the first time counted over 500 members. Particularly pleasing is the accession of over two dozen start-up companies, for which the association set up a special program in 2017. Swico also successfully expanded its presence in French-speaking Switzerland.
Shortage of ICT specialists puts the brakes on growth prospects
One key issue that continues to preoccupy the industry is the shortage of well-trained ICT specialists. "Demand from industry is high and prices are correspondingly stable. However, sales forecasts would be much better if companies were able to recruit enough qualified ICT specialists," emphasizes Giancarlo Palmisani, member of the Swico Executive Board. Swico is once again making an urgent appeal to politicians.
Review 2017: The Swiss ICT market in figures
The Swiss IT market (excluding telecoms) generated sales of CHF 19.8 billion in 2017, representing growth of 3.5 percent. At 6 percent, the software segment again posted the strongest growth, generating sales of CHF 6.4 billion. At 20.4 percent, the market share of the Swiss Software segment is significantly higher than the European comparison (EU: 13.8 percent). IT Services, still the largest segment in terms of volume, grew by three percent to a total of 10.6 billion Swiss francs. The IT Hardware segment lost slightly (-0.5 percent) and generated sales of 2.8 billion Swiss francs.
The telecoms market recorded slight growth of 0.3 percent in 2017 and generated a total of CHF 11.6 billion. Switzerland remains a smartphone country: After the market slumped in 2016 (-21.6 percent), there was moderate growth in 2017 (+4.5 percent) to CHF 1.7 billion. A total of 3.2 million units were sold, which means that sales stabilized at the level of 2016.