The public sector and the secondary market

Public Sector

Initiated by the State in 2016 as part of its Action publique 2022 programme, the public sector must accelerate its digital transformation. The 100 % dematerialisation obligation for services has notably caused an increase in software budgets related to digital projects. In 2020, they were close to 8 billion euros and represented 14 % of the software and IT services market in France[1]. But Covid-19 should lead public players to review their spending downwards. In this context, the secondary market has many advantages.

As with all industries, the public sector has also experienced multiple upheavals due to the health crisis. On the one hand, it has emphasized the need for digital transition, but on the other hand, it has also pushed to optimize IT budgets. As a result, the public sector is faced with the dual challenge of accelerating its transformation and reducing its costs. 

A highly regulated sector

Public bodies are required to follow well-defined processes. For example, the Union of Public Purchasing Groups (UGAP) provides public purchasers with a catalogue of software that meets all their needs.

However, this catalogue remains subject to the conditions imposed by the publishers (maintenance contracts, updates, etc.). As a result, organizations may also find themselves faced with problems of obsolescence or unused licenses.

The benefits of the secondary market

The second-hand market offers them an economical and legal alternative, thus respecting all their constraints. On the one hand, the multi-publisher offer allows them to meet all their needs. On the other hand, the transactions are strictly regulated from a legal point of view, ensuring the conformity of the acquired licenses and the legality of the processes.

Similarly, the savings (up to 80 % at purchase) also allow them to meet the often limited budget that public services have to deal with. Not to mention that they can also sell their unused licenses and spend the money on their digital transformation. The circle is complete.


[1] According to an estimate from Markess, 2019

On the same subjects...