Report: Covid-19 tech winners & losers

GlobalData revised outlook says technology, media and telecom sectors will be negatively effected by Covid-19 although cloud services and colaboration software may fare better than consumer electronics

Cloud services and virtual collaboration software vendors along with IT infrastructure businesses may get a bounce from the effects of Covid-19, while IT services and consumer electronics brands may be hardest hit, according to the revised GlobalData Tech, Media & Telecom Trends 2020 report.

The research consultancy has revised the outlook for 600 companies in 17 separate technology, media and telecom sectors and is already finding consumer electronics the big loser, with Apple falling from fourth position to 14th because of its exposure to the Covid-19 theme.

Given the global scale of the virus and the drastic measures needed to contain it, GlobalData is predicting overall all tech, media and telecom sectors will feel the effects of the global pandemic currently gripping the world. 

The 17 sectors covered by the report are IT services, consumer electronics, advertising, component makers, telecoms infrastructure, semiconductors, IT infrastructure, industrial automation, telecom operators, application software, music, film and TV, ecommerce, social media, publishing, gaming and security software.

GlobalData stated the pandemic is effectively a stress test on companies’ ability to cope with extreme shocks. According to the report, the situation will test the financial robustness of companies, and many will not survive this initial phase. And almost all others will suffer significant drop in revenues.

On the consumer front, GlobalData head of thematic research, Cyrus Mewawalla, explained its downgraded predictions for Apple relate to supply chain issues along with a predicted downturn in consumer electronics spending for the rest of 2020. When it comes to the business sector, GlobalData predicted IT services will be the worst hit with both constraints in the immediate phase of shutdown and longer term.

GlobalData chief analyst for thematic research, Stuart Ravens, said the short-term pain IT services will experience trying to deliver existing projects will be acute.

“While clients are locked down for three months will be replaced by the long-term pain of a massive slowdown in IT projects as companies scale back spending to project 2020 profits,” he said.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, follow our regular updates via CMO Australia's Linkedin company page, or join us on Facebook: https://www.facebook.com/CMOAustralia.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments
cmo-xs-promo

Latest Videos

More Videos

Nice blog!Blog is really informative , valuable.keep updating us with such amazing blogs.influencer agency in Melbourne

Rajat Kumar

Why flipping Status Quo Bias is the key to B2B marketing success

Read more

good this information are very helpful for millions of peoples customer loyalty Consultant is an important part of every business.

Tom Devid

Report: 4 ways to generate customer loyalty

Read more

Great post, thanks for sharing such a informative content.

CodeWare Limited

APAC software company brings on first VP of growth

Read more

This article highlights Gartner’s latest digital experience platforms report and how they are influencing content operations ecosystems. ...

vikram Roy

Gartner 2022 Digital Experience Platforms reveals leading vendor players

Read more

What about this one FormDesigner.pro? I think it's a great platform providing a lot of options, you can collect different data and work w...

Salvador Lopez

Gartner highlights four content marketing platform players as leaders

Read more

Blog Posts

Marketing overseas? 4 ways to make your message stick

Companies encounter a variety of challenges when it comes to marketing overseas. Marketing departments often don’t know much about the business and cultural context of the international audiences they are trying to reach. Sometimes they are also unsure about what kind of marketing they should be doing.

Cynthia Dearin

Author, business strategist, advisor

From unconscious to reflective: What level of data user are you?

Using data is a hot topic right now. Leaders are realising data can no longer just be the responsibility of dedicated analysts or staff with ‘data’ in their title or role description.

Dr Selena Fisk

Data expert, author

Whose responsibility is it to set the ground rules for agency collaboration?

It’s not that your agencies don’t have your best interests at heart – most of them do. But the only way to ensure they’re 100 per cent focused on your business and not growing theirs by scope creep is by setting the guard rails for healthy agency collaboration.

Andrew Pascoe

Head of planning, Hatched

Sign in