Recession could be straw that breaks the SME outsourcing sector

Following a couple of blog posts I recently wrote about SMEs and the outsourcing sector I thought I should highlight more research suggesting small businesses are ready to significantly outsource IT.

According to the article SMEs do not want to take the risk of paying large sums up-front for hardware and software, but rather have the suppliers do that.

Also large suppliers, traditionally focused on the corporate sector, are weighing up their options in the SME space.

With competition hot and the corporate spending freezes of late leaving indelible marks on the large suppliers the want to broaden their services to reduce dependence on one sector.

TCS, for example, has said it is running a trial of SME software packages in the cloud in its native India. If successful it could come to the UK.

So has the recession created a match made in heaven. Or is it just a flirt being led by the suppliers?