Menu
Gartner: IT spending flat this year

Gartner: IT spending flat this year

Global spending on IT will be totally flat this year as the recession constrains technology budgets, according to a new report.

Analyst house Gartner said in its 'Dataquest Alert' report that spending would sit at US$2.7 trillion (£1.9 trillion) for the full year, only a 0.5 percent growth on last year.

Budgets in the financial services industry will be worst hit, Gartner predicted, but they will not fall heavily. A slippage of 0.7 percent is expected in those budgets, to US$554 billion. Manufacturing budgets will slide 0.6 percent to $480 billion.

But several sectors will increase their IT spending this year, the report said. Public sector budgets will grow 2.1 percent to $428 billion, budgets in the healthcare sector would rise 2.2 percent to $88 billion -- partly boosted by government spending - and utility companies would spend 2.9 percent more than last year, hitting the $132 billion mark.

John-David Lovelock, research VP at Gartner, said IT budgets had been hit by the recession.

"Internal spending, hardware and system integration in the financial sector were particularly hard-hit in 2008 and will continue suffering through 2009," he added. "In contrast, healthcare grew 8.3 percent worldwide in 2008, and utilities grew 7.7 percent."

A report last week by TechMarketView stated there would be two years of contraction in British firms' spending on software and IT services, with any investments directed at cost cutting. Anthony Miller, analyst at the company, told Computerworld UK the prevailing attitude among IT directors is "make do and mend".


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Events

Featured

Slideshows

Channel kicks 2021 into gear as After Hours returns to Auckland

Channel kicks 2021 into gear as After Hours returns to Auckland

After Hours made a welcome return to the channel social calendar with a bumper crowd of partners, distributors and vendors descending on The Pantry at Park Hyatt in Auckland to kick-start 2021.

Channel kicks 2021 into gear as After Hours returns to Auckland
The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Show Comments