Introduction
 
Information and communication technologies are discussed more and more often in the context of education. However, the use of ICT in education is still in its early stages and as yet it varies considerably both across Europe. ``The future of technology in European education`` aims to help you understand the way this rapidly changing market is developing and to give market sizing from 2004 to 2010.
 

 
Scope
 
The report details the market for information and communication technologies in European education institutions.
 
Market characteristics for France, Germany, Italy, Spain, Switzerland, the UK, Benelux, Nordics, the new EU states and the rest of Europe.
 
Market sizes and projections from 2004 to 2010.
 
The growth of the hardware, software, telecoms and services technology segments.
 
Highlights
 
eLearning technologies present an opportunity for schools and HEIs to reduce costs in the long-term. However, in the medium term the emphasis will continue to be on PCs and effective networks.
 

 
The market across Europe will grow strongly driven by the belief that ICT skills will be vital for economic success and by the fear that a digital divide will grow between the ICT haves and have-nots. This will generate a CAGR of 7.9%. The new EU states and those hoping for entry will grow even faster with CAGR of 13.4% and 15.1% respectively.
 

 
Those markets new to the EU offer opportunities to vendors as they rapidly upgrade their infrastructures' with the help of EU money. At the same time those nation jockeying to enter the EU are also attempting to upgrade rapidly to make ready to access to the wider European market.
 

 
Reasons to Purchase
 
Discover the key success factors for technology vendors and systems integrators hoping to sell into schools and HEIs.
 
Understand how the individual market characteristics of each country dictate their demand for ICT.
 
Learn which applications will be most important to education.
 

TABLE OF CONTENTS
 
CHAPTER 1 EXECUTIVE SUMMARY 3
 
Introduction 3
 
Market context 4
 
The future decoded 7
 
Action points 9
 
CHAPTER 2 INTRODUCTION 23
 
What is this report about? 23
 
Who is the target reader? 23
 
How to use this report 23
 
CHAPTER 3 MARKET CONTEXT 24
 
Introduction 24
 
Key findings 24
 
Players in education 25
 
European tertiary education trends 26
 
The Bologna Process 26
 
Increasing participation and the need for reform 28
 
Pressure on government funding and increasing self-financing 29
 
More competitive market for students 30
 
East-West convergence 31
 
European primary and secondary education trends 31
 
Demand for better value for money 31
 
Teacher shortage and aging staff 32
 
Decentralization 33
 
Increasing importance of flexibility and ICT skill in the economy 35
 
Drivers 35
 
Reducing administration cost in the back office 35
 
Reducing teaching cost 35
 
Preparing students for ICT in the workplace 36
 
Improving effectiveness across all subject areas 36
 
Competitive differentiator for institutions 37
 
Combating the “digital divide” 37
 
Changing professional attitudes 39
 
Marketing value of education to large vendors 39
 
Restraints 39
 
Labor substitution and lack of scale 39
 
Fragmentation 40
 
Limited overall education budgets 40
 
Lack of ICT training for school teachers 40
 
Technology usage 41
 
What technologies do educational institutions buy for pedagogical use? 41
 
Conclusions 43
 
CHAPTER 4 THE FUTURE DECODED 44
 
Introduction 44
 
Key findings 44
 
Total European market overview 45
 
Primary and secondary 49
 
Higher education 51
 
Benelux 52
 
Composition of Benelux 52
 
Key features of education in Benelux 52
 
Overall ICT spending 53
 
Primary and secondary 55
 
Higher education 56
 
France 58
 
Key features of education in France 58
 
Overall ICT spending 59
 
Primary and secondary 60
 
Higher education 62
 
Germany 63
 
Key features of education in Germany 63
 
Overall ICT spending 64
 
Primary and secondary 66
 
Higher education 67
 
Italy 69
 
Key features of education in Italy 69
 
Overall ICT spending 69
 
Primary and secondary 71
 
Higher education 72
 
New EU states (NEU 10) 74
 
Composition of NEU 10 74
 
Key features of education in the ten accession states 74
 
Overall ICT spending 75
 
Primary and secondary 77
 
Higher education 78
 
Nordics 80
 
Composition of the Nordics 80
 
Key features of education in the Nordics 80
 
Overall ICT spending 81
 
Primary and secondary 83
 
Higher education 84
 
Spain 85
 
Key features of education in Spain 85
 
Overall ICT spending 86
 
Primary and secondary 87
 
Higher education 89
 
Switzerland 90
 
Key features of education in Switzerland 90
 
Overall ICT spending 91
 
Primary and secondary 92
 
Higher education 94
 
United Kingdom 95
 
Key features of education in the United Kingdom 95
 
Overall ICT spending 96
 
Primary and secondary 97
 
Higher education 99
 
Rest of Europe inside the EU (RoWE) 100
 
The composition of RoWE 100
 
Key features of education in the rest of the EU 101
 
Overall ICT spending 102
 
Primary and secondary 103
 
Higher education 105
 
Rest of Europe outside the EU (RoE) 106
 
Composition of RoE 106
 
Key features of education in the rest of Europe outside the EU 107
 
Overall ICT spending 108
 
Primary and secondary 109
 
Higher education 111
 
Conclusions 113
 
National market summary 113
 
CHAPTER 5 ACTION POINTS 114
 
Introduction 114
 
Key findings 114
 
Vendors need to tailor their marketing based on where decisions are taken in different national markets 115
 
The high fragmentation of all markets means that software and hardware vendors will need a very broad range of resale partners 115
 
Those vendors trying to sell higher-end solutions into schools should focus on the UK, the Nordics and the Netherlands 115
 
PC and networking vendors should be aware of the opportunities presented by the rapidly growing new EU members 116
 
Bologna reforms present an opportunity to reach into the higher education back office 116
 
Larger vendors should get involved with government at a national level 116
 
CHAPTER 6 APPENDIX 117
 
Definitions 117
 
Research methodology 119
 
Future readings 119
 
SPP writing team 119
 
How to contact experts in your industry 121
 

 
LIST OF TABLES
 
Table 1: Total European market for ICT in education from 2004 to 2010, by level of education 47
 
Table 2: Total European market for ICT in education from 2004 to 2010, by geography 48
 
Table 3: Total European market for ICT in primary and secondary education from 2004 to 2010, by technology 50
 
Table 4: Total European market for IT in tertiary education from 2004 to 2010, by technology 51
 
Table 5: ICT spending in education in Benelux from 2004 to 2010, by level of education 54
 
Table 6: Benelux ICT spending in primary and secondary education from 2004 to 2010, by technology 56
 
Table 7: Benelux ICT spending in tertiary education from 2004 to 2010, by technology 57
 
Table 8: ICT spending in education in France from 2004 to 2010, by level of education 60
 
Table 9: French ICT spending in primary and secondary education from 2004 to 2010, by technology 61
 
Table 10: French ICT spending in tertiary education from 2004 to 2010, by technology 63
 
Table 11: ICT spending in education in Germany from 2004 to 2010, by level of education 65
 
Table 12: German ICT spending in primary and secondary education from 2004 to 2010, by technology 67
 
Table 13: German ICT spending in tertiary education from 2004 to 2010, by technology 68
 
Table 14: ICT spending in education in Italy from 2004 to 2010, by level of education 70
 
Table 15: Italian ICT spending in primary and secondary education from 2004 to 2010, by technology 72
 
Table 16: Italian ICT spending in tertiary education from 2004 to 2010, by technology 73
 
Table 17: Progress towards Bologna in the NEU 10 75
 
Table 18: ICT spending in education in NEU 10 from 2004 to 2010, by level of education 76
 
Table 19: NEU 10 ICT spending in primary and secondary education from 2004 to 2010, by technology 78
 
Table 20: NEU 10 ICT spending in tertiary education from 2004 to 2010, by technology 79
 
Table 21: ICT spending in education in Nordics from 2004 to 2010, by level of education 82
 
Table 22: Nordics ICT spending in primary and secondary education from 2004 to 2010, by technology 83
 
Table 23: Nordics ICT spending in tertiary education from 2004 to 2010, by technology 85
 
Table 24: ICT spending in education in Spain from 2004 to 2010, by level of education 87
 
Table 25: Spanish ICT spending in primary and secondary education from 2004 to 2010, by technology 88
 
Table 26: Spanish ICT spending in tertiary education from 2004 to 2010, by technology 90
 
Table 27: ICT spending in education in Switzerland from 2004 to 2010, by level of education 92
 
Table 28: Swiss ICT spending in primary and secondary education from 2004 to 2010, by technology 93
 
Table 29: Swiss ICT spending in tertiary education from 2004 to 2010, by technology 94
 
Table 30: ICT spending in education in United Kingdom from 2004 to 2010, by level of education 97
 
Table 31: UK ICT spending in primary and secondary education from 2004 to 2010, by technology 98
 
Table 32: UK ICT spending in tertiary education from 2004 to 2010, by technology 100
 
Table 33: ICT spending in education in RoWE from 2004 to 2010, by level of education 103
 
Table 34: RoWE ICT spending in primary and secondary education from 2004 to 2010, by technology 104
 
Table 35: RoWE ICT spending in tertiary education from 2004 to 2010, by technology 106
 
Table 36: ICT spending in education in RoE from 2004 to 2010, by level of education 109
 
Table 37: RoE ICT spending in primary and secondary education from 2004 to 2010, by technology 110
 
Table 38: RoE ICT spending in tertiary education from 2004 to 2010, by technology 112
 
Table 39: Summary of key education system features 113
 

 

 
LIST OF FIGURES
 
Figure 1: The European nations and regions covered in this report 3
 
Figure 2: Growth in European education ICT spending, by geography and technology, 2004-2010 8
 
Figure 3: Total European market for ICT in education from 2004 to 2010, by level of education 9
 
Figure 4: Student enrollment rates in tertiary education 28
 
Figure 5: Percentage change in overall spending on tertiary education from public and private sources, 1995 to 2001 30
 
Figure 6: Percentage of school principals who say teacher shortages are hindering instruction “to some extent” or “a lot” 33
 
Figure 7: Change in percentage of decisions made at school level from 1998 to 2003 34
 
Figure 8: Evolution of technology purchasing in education 42
 
Figure 9: The European nations and regions covered in this report 45
 
Figure 10: Total European market for ICT in education from 2004 to 2010, by level of education 46
 
Figure 11: Total European market for ICT in education from 2004 to 2010, by geography 47
 
Figure 12: Growth in European education ICT spending, by geography and technology, 2004 to 2010 49
 
Figure 13: Total European market for ICT in primary and secondary education from 2004 to 2010, by technology 50
 
Figure 14: Total European market for IT in tertiary education from 2004 to 2010, by technology 51
 
Figure 15: National composition of Benelux as a percentage of total education ICT spending in 2004 52
 
Figure 16: ICT spending in education in Benelux from 2004 to 2010, by level of education 54
 
Figure 17: ICT spending in primary and secondary education in Benelux from 2004 to 2010, by technology 55
 
Figure 18: Benelux ICT spending in tertiary education from 2004 to 2010, by technology 57
 
Figure 19: ICT spending in education in France from 2004 to 2010, by level of education 59
 
Figure 20: French ICT spending in primary and secondary education from 2004 to 2010, by technology 61
 
Figure 21: French ICT spending in tertiary education from 2004 to 2010, by technology 62
 
Figure 22: ICT spending in education in Germany from 2004 to 2010, by level of education 65
 
Figure 23: German ICT spending in primary and secondary education from 2004 to 2010, by technology 66
 
Figure 24: German ICT spending in tertiary education from 2004 to 2010, by technology 68
 
Figure 25: ICT spending in education in Italy from 2004 to 2010, by level of education 70
 
Figure 26: Italian ICT spending in primary and secondary education from 2004 to 2010, by technology 71
 
Figure 27: Italian ICT spending in tertiary education from 2004 to 2010, by technology 73
 
Figure 28: National composition of NEU 10 as a percentage of total education ICT spending in 2004 74
 
Figure 29: ICT spending in education in NEU 10 from 2004 to 2010, by level of education 76
 
Figure 30: NEU 10 ICT spending in primary and secondary education from 2004 to 2010, by technology 77
 
Figure 31: NEU 10 ICT spending in tertiary education from 2004 to 2010, by technology 79
 
Figure 32: National composition of Nordics as a percentage of total education ICT spending in 2004 80
 
Figure 33: ICT spending in education in Nordics from 2004 to 2010, by level of education 82
 
Figure 34: Nordics ICT spending in primary and secondary education from 2004 to 2010, by technology 83
 
Figure 35: Nordics ICT spending in tertiary education from 2004 to 2010, by technology 84
 
Figure 36: ICT spending in education in Spain from 2004 to 2010, by level of education 86
 
Figure 37: Spanish ICT spending in primary and secondary education from 2004 to 2010, by technology 88
 
Figure 38: Spanish ICT spending in tertiary education from 2004 to 2010, by technology 89
 
Figure 39: ICT spending in education in Switzerland from 2004 to 2010, by level of education 91
 
Figure 40: Swiss ICT spending in primary and secondary education from 2004 to 2010, by technology 93
 
Figure 41: Swiss ICT spending in tertiary education from 2004 to 2010, by technology 94
 
Figure 42: ICT spending in education in United Kingdom from 2004 to 2010, by level of education 96
 
Figure 43: UK ICT spending in primary and secondary education from 2004 to 2010, by technology 98
 
Figure 44: UK ICT spending in tertiary education from 2004 to 2010, by technology 99
 
Figure 45: National composition of RoWE as a percentage of total education ICT spending in 2004 101
 
Figure 46: ICT spending in education in RoWE from 2004 to 2010, by level of education 102
 
Figure 47: RoWE ICT spending in primary and secondary education from 2004 to 2010, by technology 104
 
Figure 48: RoWE ICT spending in tertiary education from 2004 to 2010, by technology 105
 
Figure 49: National composition of RoE as a percentage of total education ICT spending in 2004 107
 
Figure 50: ICT spending in education in RoE from 2004 to 2010, by level of education 108
 
Figure 51: RoE ICT spending in primary and secondary education from 2004 to 2010, by technology 110
 
Figure 52: RoE ICT spending in tertiary education from 2004 to 2010, by technology 111