From 2015 to 2023, South Korea's IT services industry has experienced various growth trends, with notable fluctuations. The year-on-year growth from 2015 to 2019 remained positive, peaking at 8.3% in 2017. However, in 2020, there was a significant contraction by 5.08%. A recovery followed in 2021 with a substantial growth of 9.06%, but subsequent years saw moderated changes, including a slight drop in 2022 by 0.47% and a modest growth of 1.46% in 2023. Over the last five years, the Compound Annual Growth Rate (CAGR) has reduced to 1.11% as of 2023.
The forecast indicates a steady but modest improvement in the IT services output, with an anticipated 5.83% growth over the next five years from 2024 to 2028, translating to a CAGR of 1.14%.
Future trends to watch for include the rapid adoption of emerging technologies such as AI and blockchain, which may drive further growth. Additionally, digital transformation initiatives across various industries in South Korea will likely continue propelling demand for advanced IT services.
