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Key Note estimates that the information technology (IT) training market was worth £527m in 1997, following a revision of the 1996 figure to £434m. The rate of growth achieved by companies in the market rose dramatically in 1994/1995 to around 60 percent, with the introduction of Windows 95. Since then, it has settled back to around 22 percent. IT training continues to increase its share of the total training market, which has risen from 1.9 percent in 1993 to 33 percent in 1997.
The market is segmented into three sectors: do-it-yourself (DIY) training, which uses videos and computer-based training (CBT) methods, such as multimedia CD-ROMs; formal training courses, which are classroom-based and combine instruction with hands-on experience; and tailored or bespoke courses, which are generally run on the customers' own premises. This report does not cover courses offered by educational establishments, or DIY support materials such as help sections of software packages and specialist book titles.
The majority of IT training courses involve the application of PC operating systems and software products in a business environment. These range from courses aimed at IT professionals to introductory courses for clerical staff. However, the fast-changing nature of the IT market affects both the consumer and business environments. The rapid rise in the use of both the Internet and CD-ROM drives, makes it difficult to predict future market sizes accurately. Furthermore, the market is affected by one-off events, such as the introduction of Microsoft 32-bit operating systems (Windows 95 and Windows NT 4) and the concerns about the possible impact on computer systems of dates in 2000.
The continued growth of the Intel-powered PC server in the business market, together with the spread of networks in smaller businesses, is fuelling a large proportion of professional courses. Data management within organisations is now seen as vital and there has been a rapid rise in the use of Internet technology to create internal Internets. Windows NT 4 and Linux, a non-proprietary UNIX for PCs, are the two fastest-growing products for the PC market, and will stimulate IT training in this area.
Key Note forecasts that growth in the IT training market will be affected by the approach of 2000, and year-on-year growth will fall after the first quarter in 2000. The market value for IT training is expected to reach £1.25bn by 2002.
Text © 1998 Key Note
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Last updated by Jacob van Eldik 19th February 2000