Technology Technology market trends 2025
By Craig Sibley

Oct 8, 2024

As the first quarter of FY24-25 comes to a close, the technology sector has seen both growth and challenges. The market showed encouraging signs towards the end of the quarter, with a notable uptick in job postings, candidate outreach, and offers being extended. However, the real test will be whether this momentum continues or if it represents a brief surge, something we’ve seen over the past year.

Economic conditions have provided a glimmer of hope. Inflation fell to 2.7% in August, and the cash rate remains steady at 4.35%. Optimism is growing that a rate cut could come as early as February, driven by falling interest rates globally and continued easing of inflation. As we look ahead to Q2, the technology sector is cautiously optimistic. External economic and regulatory factors will play a pivotal role in determining whether the market can sustain its momentum and inspire confidence for businesses to invest in new projects.

Project Delivery & Change: Struggling but Showing Promise

The project and change management sector faced a challenging Q1, with many companies dealing with restructures, budget reallocation, and strategic planning. While July and August were particularly tough, September brought a welcome increase in opportunities and candidate activity. That said, internal talent sourcing has become a key focus for many organizations as they look to cut costs.

Despite these challenges, the market remains competitive, with candidates struggling to secure feedback, interviews, or job offers. The big question now is: When will the market fully bounce back? Many predict early 2025 could mark the turning point.

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Tips for Hiring Managers

• Streamline the interview process: Prolonged interviews can cause you to miss out on top talent.
• Provide feedback to candidates: The lack of post-application updates is creating a poor candidate experience.

Job Seeker Challenges

  • Increased competition for roles.
  • Lack of feedback on applications.
  • Fewer major projects.

Top Skills in Demand

  1. Integration
  2. Change Management
  3. Regulatory/Risk

DevOps & Cloud Engineering: An Optimistic Start to FY25

Q1 of FY25 brought a welcome increase in job flow for DevOps and Cloud Engineering roles, signaling a market recovery. Businesses are continuing their digital transformations, which has driven demand for experts in these fields. Notably, the adoption of GitOps practices, focusing on version control for infrastructure and application deployment, has been on the rise. Cost concerns persist, and companies continue to look for internal talent before exploring external options. However, niche talent remains a challenge to find, leading to eventual external recruitment.

Top Tips for Job Seekers

  • Know your value and be able to articulate your successes.
  • Use your network for referrals and connections.
  • Learn the right tools—practical experience is key.

Top Tips for Hiring Managers

  • Avoid long interview processes; candidates are likely to find other opportunities if delayed.
  • Be selective with interview panels to ensure the best candidate experience.
Q1 Technology Market Report FY25

Top Skills in Demand

Architecture & Integration: Demand for API-Led Integration

Q1 saw a significant shift in demand for Integration Architects with expertise in API management and middleware. As businesses move away from monolithic systems, API-led strategies are becoming increasingly popular. Tools like MuleSoft, Dell Boomi, and Azure Logic Apps are at the forefront of this transformation, especially in cloud and hybrid environments. Enterprise Architects with experience in business capability modeling, TOGAF, and ITIL remain in high demand, especially in industries undergoing large-scale digital transformation initiatives.
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Tips for Hiring Managers

  • Partner with specialist IT recruiters to speed up the hiring process and access niche talent.
  • Streamline the interview process to avoid losing top candidates to prolonged evaluations.

As we head into Q2, the technology market remains cautiously optimistic, with opportunities on the horizon for both job seekers and hiring managers. While the market continues to evolve, the potential for growth is clear, especially as businesses push forward with their digital transformation efforts. Those who remain agile and proactive will be well-positioned to capitalize on emerging trends. 

For more in-depth insights, don’t miss out on Her Head’s in the Clouds, where we bring you the latest DevOps news and inspirational stories from leaders in the platform engineering space. This podcast offers valuable perspectives on how cutting-edge practices are shaping the future of cloud and DevOps, helping you stay informed and inspired.

We are also thrilled to announce the launch of our new podcast, ArchiTalks: The IT Architecture Podcast that Shapes Tomorrow’s Digital Landscape. This series will dive deep into the pivotal role of IT architecture in today’s rapidly evolving technology landscape. From integration strategies to API-led frameworks and the shift to cloud-native environments, ArchiTalks will feature discussions with industry experts on how architecture can drive business success. Whether you’re an experienced architect or new to the field, ArchiTalks will provide valuable insights into the future of IT architecture.

Tips for Job Seekers

  • Certifications such as AWS, Azure, MuleSoft, and TOGAF are becoming essential in securing roles.
  • Consider contract roles for short-term projects, which may lead to permanent positions.

Stay tuned for more updates and continue to follow us for the latest insights into the ever-changing tech market!

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