How DXC Plans To Make A Dent In Digital Transformation

Larger Addressable Market

In its presentation to investors this week, DXC executives cite an addressable market of more than $900 billion for digital transformations, focusing on the building of digital platforms and digitizing workflows.

The execs foresee a "widening" gap of digital skills that businesses won't be able to close. That will allow DXC to step in by offering its access to vendor partners' technology, as well as its own in-house skills. Over the next three years, the company is looking to hire more "next generation" talent to take on more digital-related work.

By comparison, the outsourcing and globalization market, which has been the traditional focus for CSC, has an addressable market of more than $650 billion.

DXC predicts a compound annual growth rate of 25 to 30 percent in digital through its 2020 fiscal year, compared with a 4 to 7 percent decline in its traditional business.