Users plough on with ebusiness

Users are ploughing ahead with major ebusiness and enterprise integration projects this year, says one of the UK's biggest IT services suppliers.

Computacenter says it's up-beat about forecasts for a pre-tax profit of £67.2m this year, on the back of a number of major users looking to roll out large Windows 2000 projects this year.

It recorded a 13 per cent rise in turnover to £1.9bn for the year ended 31 December 2000. Pre-tax profits fell 26 per cent to £55.6m, however.

Consultancy giant Cap Gemini Ernst & Young showed increased revenue of £4.3bn for the year ended 31 December 2000, compared to £2.7bn in 1999. The company maintained its forecast of £6.04bn in revenue for this year.

"Companies are looking at Windows 2000 as a credible product that they are confident to roll out en masse," said Phil Williams, director of corporate development at Computacenter.

"Large companies are continuing to invest in ebusiness," he added.

"Blue chips are much more cautious about buying, and the cycle for decisions is much longer now. But they are looking at much bigger projects with complex integration," said Pete Foster, principal analyst at Ovum Holway.

• The one black spot last week was the warning issued by services provider Computer Sciences Corporation that fourth-quarter profits will fall well below analysts' estimates, resulting in the loss of 900 jobs as part of a restructuring plan.