The list, which showcases the fastest-growing 200 technology companies in the public sector, provides a sense of direction in regards to government tech procurement, as well as offering a narrative of key changes over the last fiscal year.
What's more, it highlights some truly exceptional organisations. Those that - in the inaugural year of the list - have defied the odds and grown incredibly quickly throughout the pandemic.
This blog provides an overview of the Tech200, details on how it was produced, some initial observations about the list, and what you can expect to follow.
What is the Tussell Tech200?
The Tech200 ranks the 200 fastest growing technology companies to supply the public sector, based on Tussell's data on UK government spending.
The list is intended to be a purely fact-based, unbiased analysis of the fastest growing tech firms - completely uninfluenced by any sponsors or the interests of individual companies or organisations.
We want to use the data to tell the stories of what's happening in public sector tech, and run the list annually to highlight the most interesting up-and-coming firms.
Three initial observations
As you'd expect from Tussell, we intend to conduct some detailed analysis on the suppliers and how they made it onto the Tech200, but in the meantime, we wanted to give you our initial observations to help contextualise the list.
1. Edtech and Healthtech soared
It may not surprise you that our list is full of Edtech and Healthtech companies, nor that our #1 spot is occupied by an Edtech supplier.
The pandemic was the perfect breeding ground for tech innovation and these two markets have accelerated comprehensively as a result.
Changes in the way we use data, the way we communicate, and the way we pay in these markets are all evident in the list, and as the uncertainty of covid looms, it's likely this trend will continue for some time.
2. The ecosystem is vital
Something that jumps out immediately from the list is the myriad of advisors, experts, specialists, resellers, managed service providers and so on.
Yes, the largest IT firms and Systems Integrators are still fairly dominant in the UK public sector, but there's something different about the tech scene when compared to other markets. It's not simply a case of a dozen major 'Tier 1' suppliers and their subcontractors, which you may see more commonly in construction or FM markets.
The list makes it clear that there is a thriving, emerging role for experts, advisors and resellers who help knit together the complex network of technologies and solutions, and as such create a kind of 'ecosystem', rather than a traditional hierarchical market that you see in many other industries.
3. Artificial Intelligence: growth by stealth?
We're asked about emerging technologies a lot at Tussell, and 'future tech' is something we try to keep a close eye on.
That being said, the true extent that AI is really being used to support government services is quite difficult to quantify - particularly because it's the type of technological advancement that could be used across any type of service, but wouldn't necessarily be awarded as a standalone contract.
So what's different about this list? What's interesting is that there are at least a few 'out-and-out' AI companies included in the Tech200, as well as many firms who purport to offer AI-based solutions or services - even when this might not be obvious at the point a contract is awarded.
Having recently published a new 'pioneering standard' for AI governance, it's clear the UK government is taking the role of AI in government services very seriously.
What's next for the Tech200?
Today's launch is merely the tip of the iceberg for the Tech200. Over the coming weeks you can expect to see:
Detailed analysis on the Tech200
Interviews and feedback from the suppliers who made the list; and
Awards for exceptional performers
If you want to be kept in the loop, remember to sign up for the Tech200 mailing list.
How is the ranking calculated?
The list is calculated by comparing the value of transactions between the public sector and suppliers across two government financial years, using published data from more than 850 public sector bodies. This comparison is then used to create a percentage growth figure.
In this first version of the list, we compared technology supplier earnings between FY 19/20 (which runs from 1st April 2019 to 31st March 2020) and FY 20/21.
Note: To be included in the list, suppliers must have been paid at least £100k in FY 19/20. Our analysis is also conducted at 'entity level'. This means - especially for larger firms who do business through multiple legal entities - the performance of an individual company is likely to differ to that of the overall company/group.
We have taken a fairly broad view of what constitutes technology, so you will see the list includes things like expert advisors, telecoms companies and firms that help to facilitate and support the government tech ecosystem. Each company has been manually checked to ensure it's appropriate for inclusion in the list, but if you have any specific questions about the lists make-up, or the way the list has been calculated, feel free to contact us.
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