Malaysia's IT Sector To Generate Over 98,000 New Jobs By 2011

Malaysia's information technology (IT) sector is expected to generate more than 98,000 new jobs and accounts with the creation of more than 800 new IT companies from 2007 to 2011, according to a report from International Data Corporation (IDC).

Overall IT spending last year has been estimated at RM16.749 billion while its growth is expected to be at 9.1 percent yearly from now till 2011, said IDC's global research consulting director, Amie S. White at a joint press conference organised by Microsoft and IDC here today.

Software spending meanwhile is expected to grow 7.5 percent annually, she said, quoting the findings of IDC's recent study of Malaysia's IT market.

Over the next four years, Malaysia's IT industry will drive RM15.4 billion in new tax revenues and contribute RM17.6 billion to the country's gross domestic product (GDP), she said.

The study also found that software spending amounted to 12 percent of the total Malaysia IT market, while 32 percent of IT employees, in industry and the user base, are engaged in creating, distributing, installing or servicing software.

White said about 44 percent of IT employment last year stemmed from the Microsoft ecosystem.

Meanwhile, senior director of Microsoft Malaysia, Tyson Dowd said the largest number of jobs to be created in the industry would be in software developing.

Microsoft Malaysia invests close to RM26 million annually in industry-wide programmes to develop the local software economy.