Ness plans to grow on a declining market and focuses on the public sector

The company’s strategy focuses on the public sector, and intends to preserve the firm’s market share in the utility sector and develop a new division of solutions for companies in the financial-banking sector as of 2010.

“At present, my focus is on maintaining our position on the utility segment, and become one of the top three players in the public administration sector by the end of 2010. These are the directions in which we will invest material and human resources,” Nicolaescu told Business Standard.

Contracts with some utility companies make up some 60 percent of Ness Romania’s business, while the public administration sector brings 40 percent of revenues.

According to the company official, the IT service market registers a 10-20 percent drop, due to a not-yet-finalized budget, but Nicolaescu expects business in the public sector to grow towards the end of this year.

“On the other hand, there are segments with a strong increase at present, for example, the outsourcing business. An increasing number of companies are considering outsourcing IT services. At the same time, I expect growth in e-government solutions, because there is a very wide gap between us and the European Union from this point of view,” Nicolaescu added.