The Cyprus Computer Society (CCS) recently released the Cyprus ICT Market Report, which is part of the society’s contribution to the Cypriot ICT Industry as well as to Cypriot companies in general, aiming to support them in their digital transformation.
The 2023 report covers all sectors of the IT market, such as equipment, services, software and telecommunications and includes the market size 2023 forecasts until 2025 and trend analysis. The comprehensive study is based, among other things, on a representative survey of both Cypriot companies that are IT users (end-users), as well as ICT companies (suppliers) operating in Cyprus.
The study focused on the impact of the war in Ukraine and the energy crisis on the IT market, emerging trends (sustainability, artificial intelligence, digital workplace) and emerging solution areas and showed that, over the past two years, the Cypriot economy recovered strongly from the negative effects of the COVID-19 pandemic. Despite the ongoing effects of the Russia-Ukraine War and the resulting international sanctions imposed on Russia, the Cypriot economy recorded significant growth and unemployment is expected to trend downward.
The economic recovery and the digital transformation spurred by the pandemic drove the expansion of the ICT sector in 2022. The outlook for the near future is also positive, as the majority of ICT companies operating in Cyprus plan to launch new services and around half of Cypriot companies expect to increase their IT services spending.
These positive trends are reinforced by the Cypriot government and especially the Deputy Ministry of Research, Innovation, and Digital Policy (DMRID), which has played an essential role in the preparation of national ICT strategies and the promotion of emerging technologies. Remarkable achievements have been made in areas such as AI and blockchain and the government encourages investment in 5G infrastructure and broadband connectivity, with special incentives to serve underdeveloped areas.
CCS contributes to the work of the Deputy Ministry through various initiatives to promote and develop the IT sector in Cyprus and enhance digital literacy. The study was prepared by IDC on behalf of the CCS.