In one of its latest reports Gartner, the world’s leading IT research and advisory company, stated about the growth in worldwide IT spending in 2010 which is expected to reach $3.4 trillion by the end of this year - a 4.6% increase from 2009.
The projected growth reveals the significant improvement from the previous year (4.6% decline in 2009) and is expected across all major segments – computer hardware, IT services, software, telecom, and telecom services.
Worldwide IT spending forecast (shown for Software & IT Services):
| 2009 Spending bln USD |
Growth, % | 2010 Spending bln USD |
Growth, % | |
|---|---|---|---|---|
| Software | 220.7 | - 2.1 | 231.5 | 4.9 |
| IT Services | 780.9 | - 3.5 | 824.2 | 5.6 |
Source: Gartner (January 2010)
“Last quarter, we did not expect to see IT spending levels recover to 2008 levels until 2011, however, now, with the upward revision to the current dollar forecast, we are projecting that global IT spending this year will approach the level seen in 2008,” said Gartner representative. “Our updated forecast for IT spending to reach $3.4 trillion in 2010 is actually a year earlier than we expected leveling our previous forecast update, and reflecting a bounce back in underlying IT spending from the sharp drop in 2009.”
IT spending growth in emerging markets is expected to be faster and lead the way. Thus, spending will grow 9.3% in Latin America, 7.7% in the Middle East and Africa, and 7% in Asia/Pacific. For Western Europe, the United States and Japan recovery will start more slowly - Western Europe will increase 5.2%, the U.S. - 2.5%, and Japan - 1.8%.
“Although recovery will be slow, over the next 12 to 18 months, gross domestic product (GDP) is projected to increase, consumer confidence is expected to improve, and the availability of credit should increase,” stated Gartner. “At the same time, pent-up demand for new technologies will be released as enterprises focus on new growth opportunities and increase spending plans. IT vendors and service providers must ensure that they are poised to take advantage of this improving landscape.”
See also: 65% firms offshore IT jobs - SIM Survey
That was a very wild forecast for this year’s spending growth. Of course, there are many wars how it can grow, but in the economic downturn, it will be not that quick though.