Services Businesses Attracting Corporate IT Budgets

The InformationWeek article asserts that, "employers
remain gun-shy about hiring full-time workers, so
they're turning to outsourcers such as IT services
firms to get work done."

According to VC/investor, Steve Brotman of Silicon
Alley Venture Partners who presented late last month
at the iBreakfast, there are regional variations, but
"services businesses" are attracting "62% of venture
capital" indicating a definite paradigm shift (away
from large corporate IT organizations).

In Brotman's view, the New York tri-state area is
primed for new growth in IT services businesses. Home
to "20% of the Fortune 500," Brotman sees these
companies turning to services organizations that "know
their industry." With an available workforce of
"590,000 tech workers," in the area, services business
will have an enormous talent pool to recruit from.

Brotman was joined by Esther Dyson, editor of Release
1.0 and Howard Morgan of Idealab. For additional
highlights, visit the web-log:
http://www.onlinebusinessnetworks.com/blog/2004/12/21/ibreakfast
-3-wise-people-investors-visionaries-wrap-up-the-year-for-us
[enter above URL all on one browser line]

Regards.

Perry Gregg
VP Communications, Board of Directors
Harvard Club of San Francisco
Nob Hill
800 Powell Street
San Francisco, California 94108

bengt@post.harvard.edu