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Report 05 Feb 2026

Software & IT Services - InSight Analysis - Austria

Austria’s software & IT services (SITS) market remained resilient in 2025, despite a challenging economic environment. The market continued to grow faster than GDP, driven by digital transformation, cloud adoption, and modernization initiatives.

Key market highlights for 2025 include:

  • IT services remain the largest market segment, with growth mainly driven by application-related services, such as consulting and system integration.
  • Software & cloud platforms are the fastest-growing segment, supported by strong demand for SaaS and public IaaS/PaaS, while traditional on-premises software continues to decline.
  • Cloud migration and ERP modernization, especially SAP S/4HANA transformation, are key drivers in manufacturing, banking, and the public sector.
  • Cybersecurity has become a structural growth driver.
  • The market reflects Austria’s economic structure, with manufacturing, the public sector, and financial services accounting for the largest share of IT spending.

 

Recommended advisory: PAC Leadership Session – AI in Business Transformation

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Jennifer Jonat

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