Spending on information and communication technology (ICT) capital goods has fallen by half over the past five years, Government statistics reveal.

Last year $70 million was spent on ICT goods, such as computers — down $22 million, or 24 percent, from 2012 — according to the ICT Report for 2013. released today. This marks a steep fall from the 2009, at the beginning of Bermuda’s five-year recession, when ICT capital spending amounted to $141 million.

Companies spent nearly $39 million less on software than they did in 2012, the report said.

However, ICT still makes up more than a quarter of the Island’s total capital investment — 27 percent last year — with financial institutions and the international business accounting for half of ITC expenditure.

The ICT still made a significant contribution to the economy last year, generating $229 million of value added, or 4.1 percent of gross domestic product, the report stated. However, this was down three percent from the $236 million generated in 2012.

More companies are outsourcing their ITC needs to others, the report found.

In 2013, approximately 38 percent of all companies outsourced their ICT needs to other companies, up from 36 percent in 2012. However, this outsourcing did not negatively impact employment in the sector. There were 838 ICT-related jobs in 2013, unchanged from 2012, which represents 2.4 percent of all jobs on the Island.

Attached is a full copy of the report under “Related Media” on this web page.