The IT Sector in Italy: 2025 Highlights & What’s Coming in 2026

THE ICT MARKET IN ITALY 2025: +4.5% GROWTH WITH PERSISTENT DISPARITIES

Italy’s digital economy is growing 10 times faster than its GDP, but it’s not growing evenly.

Behind headlines of billions invested in cloud, cybersecurity and AI, there’s a country that is rapidly splitting in two: on one side, large enterprises racing ahead with automation and advanced analytics; on the other, a vast universe of SMEs still stuck between Excel sheets and legacy software.


📈 2025 Highlights: Key Growth Drivers in 2025

The Italian IT sector in 2025 confirms sustained growth, with companies continuing to invest in digitalization despite global uncertainties. However, significant gaps remain between large enterprises and SMEs, particularly in AI adoption.

According to Assintel and Gartner, the Information Technology segment in Italy led with 9.2% growth, driven by cloud computing, cybersecurity, and hybrid work solutions.

  • Cloud and IaaS (+16-20%): multi-cloud, sovereign cloud, AI-ready workloads - accelerated migration to cloud-native architectures, with focus on multi-cloud and hybrid solutions

  • Cybersecurity (+7.2%): increased attacks and new EU regulations (NIS2) drove significant security investments

  • SaaS platforms (+9%): continued growth in cloud-based ERP, CRM, and collaboration tools

  • IT Services (+8.1%): consulting, integration, managed services, - steady growth

  • Hardware (-2.3%): decline continues as companies shift to as-a-service models

  • AI (+35%):  still the fastest-growing digital segment.


🤖 2026 Expectations: AI Take Center Stage

In 2025, the broad Digital Economy in Italy is moving toward €84–85B (+3.8%) while the specific ICT Business market reached ~ €70.1 billion, recording 5.2% growth compared to 2024, exceeding initial forecasts.

In 2026, the broad Digital Economy in Italy is expected to reach approximately €88–90 billion (assuming a moderate growth rate of +4-6%), while the ICT Italian Market is projected to grow to around €73–75 billion, reflecting a similarly positive trend as in 2025 (+5-6%).

Concerning AI, IDC's “Worldwide AI and Generative AI Spending Guide” forecasts global AI spending will reach $632 billion by 2028 and forecasts for 2026 indicate further global acceleration for AI with ~ 25-30% growth.

In Italy, 37% of Italian companies plan significant AI and Machine Learning investments in 2026, up dramatically from just 7% in 2023 and 8.2% of 2025.

Key drivers for 2025 include generative AI at scale adoption, intelligent automation combining RPA with AI, edge computing and IoT integration, digital sustainability initiatives, and new European regulations (AI Act, Data Act).


⚠️ Two Critical Challenges Holding Back Italian Growth

THE WIDENING DIGITAL DIVIDE

Large enterprises (>500 employees) account for over 53% of total IT business spending in Italy, while 91% of large enterprises increased IT investments in 2025, the SME landscape tells a different story.

Only 42.3% of medium-sized companies invested significantly in IT, dropping to 23.1% for small businesses and just 11.2% for micro-enterprises.

More concerning: 180,000 Italian companies (3,6%%) remain in "digital poverty," lacking adequate management systems and relying on spreadsheets or obsolete software.

Main barriers: low awareness of benefits (38.7%), lack of internal skills (35.2%), perception of high costs (29.8%), and organizational resistance (24.5%).

This creates a two-speed market where large companies leverage AI and advanced analytics while SMEs – 99.9% of Italian businesses – risk falling further behind.

LAGGING AI ADOPTION

Despite global AI hype, for ISTAT only 8.2% of Italian companies have implemented AI solutions by end of 2024. This places Italy significantly behind Germany (28%), UK (31%), and France (23%).

Italy will contribute only 0.8% to global AI spending this year ($632 billion total), well below its ~2% share of global GDP.

Current AI applications focus mainly on customer service automation (38%), predictive analysis (27%), and fraud detection (19%). High-impact areas like supply chain optimization and predictive maintenance remain underutilized.

Key obstacles: lack of structured data (41%), shortage of AI specialists (38%), compliance concerns (32%), and unclear ROI (28%).


✨ Conclusion

The Italian IT sector closes 2025 with strong results and faces a potentially transformative 2026, especially in AI. However, success depends on bridging the gap between digitally mature large enterprises and lagging SMEs.

For IT sector operators in Italy, 2026 presents significant opportunities: double-digit market growth, surging demand for AI, automation and cloud solutions, and a large pool of SMEs yet to digitalize. Success will require combining technological excellence with consultative approaches to convey the real value of the newest IT solutions while choosing flexible delivery models that can suit the needs of the diversified Italian scene made of Large, Small and Micro enterprises.

We specialize in integrating AI and automations into existing business systems, helping Italian companies close the competitive gap. We start with prior assesment, concrete use cases and measurable ROI, then scale progressively.

📩 Reach out to us at info@itvaluepartner.eu or call +39 02 3826 5204 to discover how our approach fits your needs best.


Time & Material vs TEAM & Material - The IT Value Partner Paradigm

TIME & MATERIAL: THE FLEXIBLE FOUNDATION FOR MODERN IT PROJECTS

The development of modern IT solutions, whether software platforms, data infrastructures, or AI systems, has become increasingly complex. Today, organizations must meet high standards in usability, compliance, scalability, and service continuity. This complexity calls for flexible, adaptive delivery models.

One of the most relevant models is Time & Material, a framework that offers transparency and scalability, but which must evolve to include not only flexible costs but also the right mix of skills, coordination and governance.


🕒 The IT Skills Shortage and the Rise of Time & Material

Across the global IT market, there is a persistent shortage of skilled professionals. From developers and data engineers to cloud specialists and cybersecurity experts: demand far exceeds supply.

The Time & Material model emerged as a first step to mitigate this issue, enabling companies to access external expertise for specific projects without committing to full-time hires. Under this model, clients pay for the actual time (hours or days) and materials used, maintaining flexibility and cost control.

However, as projects became more multidimensional, requiring designers, analysts, data governance, cloud and security specialists and AI integration, we realized that simply allocating hours was no longer enough. We needed a more structured team model to better support our Clients.


👥IT Value Partner's Upgrade: The Team & Material Approach

To manage complexity, we are now promoting an evolved framework: the so called Team & Material model.

This approach combines the flexibility of Time & Material with the organizational strength of a dedicated, multidisciplinary team. Rather than providing isolated resources, we deliver an integrated team - Project Managers, Analysts, Developers, Testers and Web Engineers - working together in Agile, iterative cycles.

The goal: to deliver measurable results to our clients while maintaining the flexibility to shift priorities and adjust scope as business needs evolve.


⚙️ Key Benefits of ITVP's Team & Material Model

  1. Full-stack expertise: Ensures access to all the competencies needed for complex IT delivery (requirements, development, infrastructure, data, security, QA).

  2. Continuous alignment: Regular check-ins and short sprints enable fast feedback and realignment with Client's priorities.

  3. Operational flexibility: Combines predictable team structure with scalable “material” resources for peak workloads.

  4. Efficiency and governance: Daily syncs and clear reporting, pipelines and continuous delivery, automated testing keep quality high and waste low.

With this model, we merge the flexibility and financial transparency of Time & Material with the strategic clarity and competences of highly managed delivery, creating a balance between agility and accountability.


🤝 From Vendor to Strategic Partner

In the traditional IT market, “software houses”, IT consultancy agencies or system integrators were often seen as external executors. Today, with technologies and requirements evolving at breakneck speed, IT partners must act as strategic advisors, helping clients prioritize, reuse proven assets, and customize only where necessary.

Too much personalization leads to inefficiency; too little reduces competitive differentiation. We firmly believe that real value lies in guiding clients toward the right equilibrium: leveraging reusable components while tailoring solutions where it truly matters.


🧩Why Time & Material is Still "HOT"

Even as we adopt more advanced models, we acknowledge that Time & Material remains the foundation of modern IT contracting. It provides the elasticity needed to start fast, experiment, and adapt, especially in environments shaped by uncertainty, from digital transformation initiatives to AI adoption.

Therefore, we do not replace Time & Material with the Team & Material model; we strengthen it. Together, these models represent a continuum: from flexible resource allocation to coordinated, outcome-driven delivery.


🚀 Conclusion

In today’s IT ecosystem, success depends on the ability to combine flexibility, specialization, and governance. The Time & Material model offers a transparent, scalable foundation, while the Team & Material approach turns that flexibility into structured collaboration.

For organizations facing talent shortages, shifting priorities, and technological complexity, this dual framework provides the agility to innovate, without losing control of quality, cost, or direction.

📩 Reach out to us at info@itvaluepartner.eu to or call +39 02 3826 5204  discover how our approach fits your needs best.

We already apply it successfully, supporting leading companies in their IT Projects, and we can help you unlock your full potential.


How to Evolve Legacy Systems Without “Breaking Everything”

HOW TO EVOLVE LEGACY SYSTEMS WITHOUT "BREAKING EVERYTHING".

In today’s fast-changing market, businesses need modern technologies to stay flexible, efficient, and focused on customers. Legacy systems, while once reliable, now slow down growth, create inefficiencies, and increase risks. Upgrading to modern platforms helps companies stay competitive, innovate faster, and quickly adapt to new market and customer demands.

Legacy systems have supported businesses for years, but they’ve become roadblocks. Modernizing may seem challenging, costly, or risky, but standing still is even riskier.

AI and new technologies require fast data processing, scalability, and real-time connections—things old systems can’t deliver. Moving forward unlocks AI automation, smart analytics, and better decision-making for the future.

So how do businesses modernize without disrupting everything that already works?

That’s the challenge - and the opportunity!


🔍 Why Moving Away from Legacy Is So Hard

LEGACY SYSTEMS ARE OFTEN:

  • Stable and time-tested

  • Deeply integrated into core business processes

  • Aligned with complex regulatory frameworks

  • Home to critical, customized data structures

BUT THEY'RE ALSO:

  • Expensive to maintain

  • Rigid and monolithic

  • Inflexible to new demands

  • At risk of technological obsolescence

  • Outsiders to the huge opportunities offered by automation and AI

Here’s the paradox: You can’t innovate by ignoring the past, but you can’t build your future on outdated foundations either.


🛠️ Modernization Without Disruption: The "Incremental Approach"

Modernizing legacy systems is no longer an option—it is a necessity. Legacy infrastructures, while critical in the past, now create operational bottlenecks, limit scalability, and introduce security vulnerabilities. However, replacing them all at once can be risky, costly, and disruptive. A phased modernization approach offers a safer path forward, allowing businesses to gradually build modern architectural components that seamlessly support critical services. This approach not only ensures continuity but also lays the foundation for a resilient, scalable, and secure architecture that meets the demands of today’s digital landscape.

By progressively integrating new technologies and decoupling monolithic structures, organizations can transform at a manageable pace, achieving immediate benefits while preparing for long-term innovation. This strategy minimizes risks, controls costs, and enables the alignment of modernization efforts with business priorities.

The answer isn’t a full-blown revolution: it’s guided evolution.

Here are 4 KEY PRINCIPLES FOR SAFE, SUSTAINABLE MODERNIZATION:

1. Modular and Microservices Architecture
Breaking the monolithic system into modular microservices allows businesses to upgrade or replace individual components independently. This incremental approach reduces disruption and accelerates innovation by isolating services that can evolve at their own pace.

2. API-First and Interoperability
An API-first strategy creates a unified communication layer between legacy and modern systems. This ensures that existing data and functionalities remain accessible while enabling the smooth introduction of new digital services without disrupting operations.

3. Innovative Libraries and Frameworks
Leveraging cutting-edge libraries and frameworks speeds up development, improves performance, and supports modern application standards. This ensures that new services are built on future-ready foundations, maximizing flexibility and maintainability.

4. Hybrid Cloud and Containerization
Gradually moving workloads to public or private clouds, combined with containerization, ensures high scalability, resilience, and cost efficiency. This approach preserves data governance while providing the agility needed to adapt to evolving business demands.


⚡ Beware: What Can Go Wrong

Even the smartest transformation has its risks.

Here are 3 COMMON PITFALLS TO AVOID:

  • Underestimating the complexity of system dependencies between legacy and new components

  • Failing to involve users in redesigning business workflows

  • Believing technology alone is enough, without investing in governance, training, and change management

Modernization must be both technical and cultural. Vision is essential but so is pragmatism. That’s why it’s critical to lean on the right professionals, partners that have already done it many time before, and therefore able to understand both your legacy landscape and your future goals.


💬 Final Thought: Sustainable Change Is Achievable

Yes, it’s possible to evolve without breaking everything.

In IT Value Partner we apply our proved 3D Transformational Approach—Discover, Design, Deliver— to evolve legacy systems into future-ready architectures. First, during Discover, we assess existing processes, user needs, and business goals to understand current capabilities. Next, in Design, we co-create solutions using design thinking and agile frameworks, aligning IT with user-centered service challenges. Finally, in Deliver, we iteratively develop, validate, and deploy interfaces and workflows that modernize infrastructure and enhance digital experience—all while ensuring continuity, reducing risk, and maximizing value from legacy investments.

With a modular strategy, modern tools, a clear vision and, most importantly, an experienced partner to make it all work. Taking the right steps, legacy systems can become enablers, not obstacle, of intelligent digital transformation.

The companies that succeed are those that balance innovation with respect for existing systems, achieving growth through continuity, security, and adaptability.


📞 Want to Talk About It?

At IT Value Partner, modernizing legacy systems is our passion! We combine modular architecture based on the best emerging technologies with robust governance accrued in countless successful projects.

📩 Reach out to us at info@itvaluepartner.eu to explore the future of your digital infrastructure.


AI for Finance

AI in Finance: The Virtual Agents' Revolution

AI IN FINANCE: THE VIRTUAL AGENTS REVOLUTION. In a time of regulatory pressure, rising operational costs, and increasing client expectations, the finance industry is undergoing a profound shift. What used to be a cautious curiosity around AI has now become a strategic imperative. This was especially evident during IT VALUE PARTNER participation in VivaTech Paris 2025.

Artificial intelligence is now at the core of a major digital transformation trend, enabling financial institutions to navigate complexity, enhance resilience, and improve efficiency. This is not just about huge, historical investment banks or Silicon Valley's ubiquitous fintechs. Even mid-sized players like SIMs and SGRs, as well as young, fast-growing fintech firms, are starting to see digital transformation technologies - particularly AI - as critical to staying relevant.


🧭 How AI in Finance Can Make A Real Difference

The financial industry has always been data-driven and receptive to innovation. But in recent years, the volume and complexity of data have exploded far beyond the capacity of traditional systems and teams. At the same time, financial firms face three converging pressures:

  • Regulatory complexity (DORA, ESG, MiFID, AML)

  • Operational cost containment

  • Clients' demand for hyper-personalization

In this context, AI in finance becomes a key enabler, helping firms shift from reactive to proactive, from manual to intelligent, and from fragmented to integrated.


🧠 Virtual Agents: Streamlining Banking Operations and Client Interaction

In the context of digital workplace transformation, virtual agents powered by AI and Natural Language Processing (NLP) are becoming essential tools in modern banking environments. These intelligent systems go far beyond basic chatbots and studies show that they can dramatically enhance both internal efficiency and customer experience.

Here’s how virtual agents support financial institutions:

  • Instant access to customer insights
    Virtual agents can instantly retrieve and summarize key customer information for bank employees - such as account status, transaction history, open requests, or credit score - directly within their internal dashboard. This means faster, more informed decisions during client interactions.

  • Embedded Q&A support for customers
    Customers can receive accurate answers to routine questions (e.g., “What’s my available balance?”, “How do I update my contact details?”) directly from the bank’s online platforms or mobile app, without needing to speak to a human agent. The virtual agent handles the interaction but passes more complicated questions to a human operator when necessary.

  • 24/7 Availability across channels
    These AI-driven assistants work round the clock across web, mobile, and even messaging platforms, ensuring clients can get help at any time, while reducing the burden on contact centers.

  • Context-aware suggestions
    For bank staff, virtual agents can act like co-pilots, suggesting next best actions, notifying compliance issues, or prompting upselling opportunities based on customer profiles and behavior.

Ultimately, virtual agents help financial institutions save time, reduce operational costs, and deliver more responsive, personalized service: all while freeing up human teams to focus on value-added activities.


⚠️ Challenges: What AI in Finance Can't Solve Alone

Despite its potential, AI adoption isn’t plug-and-play. It brings challenges that must be acknowledged:

  • Data quality: Poor or inconsistent data limits the value of even the best AI models.

  • Interpretability: Financial decisions require trust. "Black box" AI is risky unless complemented with quality and explainability.

  • Skill gaps: Many mid-sized firms lack the internal capabilities to deploy AI effectively.

In short: AI needs governance. It’s not just about the algorithm, but about aligning people, data, and strategy,  and companies should rely on experienced and trusted partners to help them integrate AI effectively into their existing systems.


💡 Final Thought: AI as a Technofinance Accelerator

The intersection of finance and tech - or technofinance - is one of the most exciting and transformative spaces in the digital economy. However, even the most sophisticated AI is not replacing professionals, but amplifying their capabilities.

Those who embrace artificial intelligence solutions the right way as part of their broader digital workplace transformation will:

  • Work smarter.

  • Comply faster.

  • Compete stronger.

The firms that act now - with clarity, purpose and the right partner - will be those leading the next wave of financial innovation. 


📣 Want to Learn More?

At IT Value Partner, we help financial institutions integrate AI Virtual Agents within tailored digital transformation programs, combining strategic governance with technological innovation.

📩 Reach out to info@itvaluepartner.eu to explore how we can support your transformation journey.


VivaTech 2025 Paris

What We Learned at VivaTech Paris 2025

Paris, June 11–14, 2025 – Over four exciting days, VivaTech Paris once again proved to be Europe’s most dynamic hub for innovation. With more than 180,000 attendees, 14,000 startups, and a strong international presence, this year’s edition was not just about showcasing technology: it was about building real connections and exploring real, scalable innovations.

As IT Value Partner, our mission is to provide the best technology and practices in the financial sector. At VivaTech, we found powerful confirmation that AI is no longer an experiment but a concrete driver of transformation, especially in finance.


🤝 Meaningful Conversations with Global Startups

We had the chance to connect with founders and tech teams from around the world Canada, South Korea, Brazil, China and more. Among the most impressive, we found financial AI solutions that are modular, auditable, and scalable - making them highly suitable for any kind of financial institutions operating under strict regulation and seeking efficiency.

Every conversation sparked insights into how we can help our clients benefit from this wave of intelligent automation, with full control, traceability, and business alignment.


🌍 A Truly Global Innovation Ecosystem

VivaTech's reach extended across 171 nationalities, reinforcing that innovation in finance is a global conversation. As the Country of the Year, Canada brought a standout delegation of AI companies, showing impressive maturity and also ethical considerations that align with the vision and compliance demands of the European financial landscape.

This international spirit made it clear: the future of finance is being co-designed across borders, and IT Value Partner is here to connect those innovations with the concrete needs of its clients.


🧠 AI + Governance: A Strategic Priority

For us, innovation is only valuable if it supports governance, auditability, and strategic clarity. What we saw and discussed at VivaTech further validates our approach:

  • Many AI tools were designed without a proper know-how in process governance
  • Use AI not just for automation, but for enhanced governance

  • Combine real-time dashboards with AI-driven decision metrics and 24/7 Virtual Agents

  • Launch quick, modular pilots that bring measurable ROI from day one


🔭 From VivaTech to Value

What we brought back from VivaTech 2025 isn’t just inspiration, new partners, fresh ideas and practical solutions - it’s the certainty that we’re integrating correctly the lastest technologies into our solutions for financial firms.

For anyone in the finance sector ready to explore AI seriously, we start with a free, structured assessment: a few hours with your team to identify the right entry point, then a 1–2 week delivery of a customized, modular solution.

📩 Let’s talk - because what we saw at VivaTech is already reshaping financial services, and we’re ready to build that bridge for you.

📸 Don't forget to check our Linkedin Post to take a look at some picture of the event!

 


Digitalization for Financial Institutions

Why IT Consulting Is So Important for the Finance Industry?

Finance Is Changing Fast

The financial world is evolving at breakneck speed. Clients expect rapid, personalized services. At the same time, regulations are tightening, and technology is racing ahead. For financial institutions, keeping up isn't just a challenge: it's a necessity. That’s where IT consulting for financial institutions comes in. It helps companies stay sharp, compliant, and competitive.


Why IT Consulting Makes a Difference

IT consultants bring a powerful mix of tech expertise and business strategy. With their help, financial organizations can:

  • Replace outdated systems with modern, cloud-based architectures.

  • Stay compliant with ever-changing regulations—without slowing down operations.

  • Reduce operational risks through automation and smarter data use.

  • Enhance customer experience with easy-to-use digital tools.

  • Develop and deliver safer digital processes.


Where IT Consulting Adds Real Value

1. Leading the Way in Digital Transformation

Although Italian financial firms score "above the European average" results in the last years, research shows that they often still depend on inefficient legacy systems.  A legacy system is an hardware, a software or a technology infrastructure that is still in use but is considered outdated and no longer ideal.  These systems slow down innovation and cost much more to maintain. IT consultants guide the transition to faster, scalable, and more flexible operative platforms - like cloud solutions and automated micro-services - ensuring a smooth and secure shift to more efficient internal organization and better clients' experience.

2. Keeping You Compliant and Audit-Ready

Regulations such as MiFID II, GDPR, and DORA are complex and constantly evolving. IT consultants design systems that not only comply with current laws but are also built to adapt. Clear documentation, traceable workflows, real-time tracking and lean operational processes help reduce compliance headaches and facilitate operators' work.

3. Streamlining Operations = Client Satisfaction

Digital tools don’t just streamline workflows, they elevate the client experience. Faster onboarding, fewer errors, and cleaner reporting help make the entire journey smoother, more transparent, and more professional.

  • Easy Onboarding of Clients
  • Smart investment proposals with "as is / to be" portfolio visuals.

  • E-signatures and direct transmission of orders to markets.

  • Instant updates on order execution status.

  • Pop-up alerts for contract or pricing policy deadlines, with easy tools to update or renew them.

  • Secure delivery of compliance documents, including:

    • The MiFID questionnaire (updated every two years).

    • The W-8BEN form for Italian clients earning U.S. income.

    • Valid ID verification and updates.

4. Boosting efficiency the right way

At IT Value Partner, we provide target IT and governance consultancy: we can integrate micro-tools in existing systems in order to strongly simplify everyday processes, or we can work with the Company in synergy to develop complete, high performing platforms that improve employees outcomes and clients satisfaction.


Consulting Is a Competitive Edge

IT consulting isn’t just about fixing systems, it’s about building smarter, future-ready financial institutions. At IT Value Partner, we tailor our approach to your challenges. Whether you need to modernize legacy systems, stay ahead of compliance, or improve and speed up service delivery, we’re ready to help.

Let’s talk!

If you're a financial institution planning a transformation, we’d love to support you. Contact us at info@itvaluepartner.eu for a free auditing of your governance processes and IT system assessment.


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