IT Spending Expected to Stabilize in 2012
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CREDIT: DREAMSTIME.COM
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IT spending is expected to rise in 2012, but not as much as anticipated, new research reveals.
According to the latest outlook by technology research firm Gartner, worldwide IT spending is forecast to total $3.8 trillion in 2012, a 3.7 percent increase from 2011. That estimate is down, though, from Gartner's previous prediction of a 4.6 percent increase.
Gartner's report found that all four major technology sectors — computing hardware, enterprise software, IT services and telecommunications equipment and services — are expected to experience slower spending growth in 2012 than forecasted.
Worldwide, telecom equipment spending is projected to show the strongest growth, with revenue increasing 6.9 percent in 2012, followed by the enterprise software market, which is expected to grow 6.4 percent.
Richard Gordon, research vice president at Gartner, said the faltering economic growth globally and the dollar zone crisis are contributing to the revised outlook.
The Thailand floods, which left one-third of the country under water, also are having serious business implications worldwide, particularly with computer and storage purchases, Gordon said.
Gartner predicts the supply of hard drives will be reduced by as much as 25 percent, and potentially even more, in the next six to nine months.
"Rebuilding the destroyed manufacturing facilities will also take time, and the effects of this will continue to ripple throughout 2012 and very likely into 2013," he said.
Thailand's inability to produce hard-disk drives will affect all of the companies that rely on those components, which is why Gartner is reducing the number of PCs it expects will be shipped in 2012.
Gartner conducts quarterly research on IT spending across hardware, software, IT services and the telecommunications segments. The company will release further details of the report during a free webinar Jan. 10.
