Outsourcing favoured by utility companies

NEWS UK utility companies are increasingly turning to IT outsourcing as a way of beating rivals and escaping regulatory pressure, according to a survey by research unit, Datamonitor. The research shows that over 37 per cent of all outsourcing contracts in the sector are for technology needs. It claims many utilities are fighting the increased competition created through market deregulation by developing online facilities. Many companies are also increasing efficiency by upgrading network facilities. The report predicts the market for IT outsourcing in the utilities sector will continue to grow well into the next millennium, with the outsourcing of call centres and network management becoming increasingly popular over the next four years.