This IDC study presents the IT services industry in 2007 and forecasts expenditure on IT services through 2012. The study contains market size, vendor market shares, and forecasts for thirteen foundation market categories.

The study ranks the top IT services providers by their 2007 revenues and includes detailed profiles of their IT-services portfolios for the top ten, their presence in individual vertical markets, and their largest contracts. The top services providers for each of IDC's foundation-market categories are also provided.

The study answers the following questions:

• What are IDC's predictions for spending on IT services, what are the assumptions for forecast numbers, and what impact will these have on the market forecasts?
• What are the new trends in IT services delivery, such as outsourcing and business services?
• Who are the market leaders based on services revenue, and what are their strengths, weaknesses, and strategies for the future?

"Mergers and acquisitions in the Israeli IT services market continued unabated in 2007. Vendors are increasingly being required by their clients to diversify their services portfolios, since most clients want to simplify communications with their service providers and deal with as few vendors as possible. Furthermore, as the market matures, local IT firms are beginning to show signs of expansion beyond the Israeli marketplace. Until recently, most of such acquisitions were conducted for the purpose of strengthening the acquiring vendor's offshore capabilities. However, more acquisitions are now pursued with the intention of enhancing the vendor's international brand presence in order to establish operations and compete with domestic vendors in overseas markets." – Research Analyst Liran Tal, IDC Israel