Technology Solution Providers See Economic Recovery, Finds CMP Media's VARBusiness Magazine

Expect to Increase Business with Microsoft, Intel and Symantec

Nov 13, 2003

North American information technology (IT) solution providers are projecting an economic recovery in sales in 2004, according to research findings reported in the Nov. 17 issue of VARBusiness magazine, CMP Media's award winning biweekly that covers the business of technology integration. Nearly two-thirds of those polled have seen recovery in IT spending in the past 12 months. Seventy percent expect first half of 2004 revenue to increase over the first half of 2003, with an average 28 percent rise in anticipated revenue.

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The findings are from the 2004 VARBusiness State of the Market research, the industry's most comprehensive look at the solution-provider business model, a segment responsible for $387 billion in hardware, software and services spending in 2003. Complete findings will be posted to

"We are encouraged by the optimism that the State of the Market research reveals," says VARBusiness Editorial Director Robert C. DeMarzo. "Solution providers, who represent 66 percent of IT spending, have the pulse of the market and historically have provided accurate indications of future trends."

Over three-fourths of solution providers - also known as value-added resellers (VARs) -- drive demand for their business and the brands, products and services of the solutions they sell.

VARBusiness' 2004 State of the Market research indicates that over 50 percent of VARs expect their sales of Microsoft products to increase - more than sales of any of 27 other vendors' products next year.

In addition, approximately 40% of the solution providers polled are planning to increase business with other vendors: Intel, Symantec, Hewlett- Packard, Cisco, Dell and IBM.

As another optimistic sign, more than four in ten solution providers queried expect to hire more staff in 2004.


VARBusiness conducted its 16th annual State of the Market research in partnership with Answers Research, a Solana Beach, Calif.-based market research and consulting firm. A total of 1,100 interviews were conducted from the final week of August through the second week of September. Answers Research tabulated the responses and performed a trend analysis of the data. The margin of error was +/- 3 percent at a 95 percent confidence interval.

About VARBusiness Magazine

For the past 16 years, VARBusiness' strategic resources have been the gateway to the Solution Provider community. VARBusiness provides strategic insight for technology integrators through industry-defining research, in-depth editorial, channel events and innovative Web services, enabling these IT professionals to make educated decisions for their businesses, partnerships and customers. VARBusiness has been the recipient of numerous industry awards for both editorial content and design. Additional information about VARBusiness products, events and services, is available at its Web site, VARBusiness magazine won the gold 2003 Eddie Award as best publication in the Business-to-Business Computing category.

About CMP Media

CMP Media LLC ( is a leading integrated media company providing essential information and marketing services to the entire technology spectrum -- the builders, sellers and users of technology worldwide. Capitalizing on its editorial strength, CMP is uniquely positioned to offer marketers comprehensive, integrated media solutions tailored to meet their individual needs. Its diverse products and services include newspapers, magazines, Internet products, research, direct marketing services, education and training, trade shows and conferences, and custom publishing.

   Contact:  Gordon Plutsky
             VARBusiness Magazine
             (516) 562-7766

             Jason Chupick
             Plesser Associates
             (212) 420-8383 x208


CONTACT: Gordon Plutsky of VARBusiness Magazine, +1-516-562-7766; or
Jason Chupick of Plesser Associates, +1-212-420-8383, ext. 208, for CMP Media

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