Like all things its cyclic. Before starting my own degree in I.T. back in 1988, I was told it was in great demand, but was also told that by the time I'd finished there would probably be an oversupply of qualified people.
Truer words were never spoken.
Best career advice I ever heard was to find something you like doing and follow that path.
Another good piece of advice that is relevant to people going for an I.T. career is to reskill every few years. The I.T degree teaches you how to think about I.T. and is a good grounding, but particular skill-sets such as C or Java programming go in and out of fashion -- and you'll need to keep learning new ones if your skills are not to become obsolete.
Based on personal experience I'd also add that its probably best not to specialise early in your career. Though specialisation can be very rewarding if its in something like storage that has a very long lifespan, the downside is that its very hard to find positions given that there aren't a lot of positions on offer, and incumbents in those positions don't move very often.