Governments in emerging markets also keen to drive investment in new technologies, leading aggressive smart city initiatives and integrating ICT with economic planning. Indian tech companies are expected to invest USD 81.9 billion, with enterprise software and IT services the leading segments in a … Per-industry data is provided for industries with more than 15 respondents. AI) or reliant on legacy infrastructure or inhibited by local factors (e.g. Technology hosting (41.5 percent), software (36.5 percent ), financial services (16 percent) and services (14.2 percent) companies showed higher than average numbers of IT employees. While the tech sector fared better than many other industries during the pandemic, it was not immune to cutbacks in spending patterns and deferment of major investments. Tech consulting and systems integration services spending will be flat in a temporary slowdown and could be down by up to 5% if firms cut back on new tech projects. Dec 06, 2020 (CDN Newswire via Comtex) — Global IT Spending In Cold Chain Logisitics Market 2020 by Company, Type and Application, Forecast to 2025 is a conclusive source of information that encapsulates vital details about the market flow as well as future status during the mentioned forecast … Gartner's latest forecast, released in April, put worldwide IT spending for 2018 at $3.74 trillion, up 6.2 percent from 2017. While some categories are declining, businesses continue to leverage traditional technologies as major components of digital strategies. The count of respondents in each industry is shown below. Transportation and logistics companies are aggressively shifting from on-premises to SaaS, with 94 percent planning to increase SaaS spend. This aligns with their expectation of decreased spend for on-premise software. Weighted-average data incorporates data from all 303 respondents, including industries with 15 or fewer respondents. Consumer products and healthcare organizations were just below the average with 12.4 percent and 11.6 percent of employees in IT respectively, while retail, transportation and logistics and industrial products industries were below 7 percent. However, there was significant variation by industry, with 85 percent of retail organizations planning to increase 2020 IT spend, more than double the 42 percent of consumer products companies planning to grow IT investments. At the high end, 34 percent of retailers are growing on-premises software investments, while at the low end only 6 percent of transportation and logistics companies expect to grow software spend. In the Flexera 2020 State of Tech Spend report we identified IT spending by industry across financial services, retail, healthcare, software, services, hosting, industrial and consumer products, transportation and logistics. Following years of growth, ICT spending will remain relatively flat in 2020 due to the COVID-19 pandemic. While traditional ICT spending is forecast to broadly track GDP growth over the next decade, the overall industry will be catapulted back to growth of more than 2x GDP as new technologies begin to account for a larger share of the market. Meanwhile, cost savings generated by cloud and automation will see more spending diverted towards new technologies such as AI, robotics, AR/VR, and blockchain. In 2021 through 2023, overall ICT spending will grow by at least 5% annually due to continued expansion in new technologies while traditional ICT will continue to see growth that tracks GDP. Industrial products (61 percent), healthcare (60 percent) and financial services (56 percent) organizations were most likely to rank cybersecurity among their top three initiatives. The Technology Spending on Revenue Cycle Management market in the U.S. is estimated at US$10.7 Billion in the year 2020. The Fight for Smart Assistant Dominance Heats Up as Smart Home Market Grows, Says Consumer products organizations (74 percent) and retailers (69 percent) were also significantly more likely to cite digital transformation as a top initiative. The COVID-19 pandemic will result in ICT spending in 2020 being flat compared to 2019 and kept afloat by growth in new technologies. She has also consulted as interim CMO at a variety of high-growth startups. The Worldwide ICT Spending Guide: Industry and Company Size is IDC's flagship all-in-one data product capturing IT spending across more than 120 technology … “Should tariffs extend to devices like PCs and mobile phones, we will likely see manufacturers switch supply routes to minimize costs and have their technology made outside of China.” The device market will see the sharpest spending decline among all segments in 2019, down 5.3% from $713 billion in 2018 (see Table 1). Global Technology Spending on Core Administration in Healthcare Industry. (Krisztian Bocsi/Bloomberg News) The 2020 State of Tech Spend report showed that across all respondents, the top three strategic initiatives were digital transformation, cybersecurity and cloud. We gathered IT spending data from 300 enterprise CIOs and IT executives in large and medium … Construction has long been a laggard in making the commitment to digitalizing operations, and many have said that slow pace of adoption has cost the industry. In considering IT spending as a percentage of revenue, th… Most recently, as senior vice president of marketing at OpenLogic, she helped evangelize and drive demand for open source and cloud technologies at large enterprises worldwide. Organizations plan to shift spend away from software toward SaaS in 2020. Overall, IT spending will decrease in 2020, despite the increase in specific areas like cloud-based services and security. Business and government spending on tech goods and services in Asia-Pacific 2013-2018 Latvia: number of employees in the ICT manufacturing industry 2008-2015 Czech Republic: number of … After an almost natural contraction in 2020, of around 8.4% on an annual basis, the IT industry is expected to mark a year of growth in spending. They are followed closely by retail (47 percent), healthcare (44 percent) and services (43 percent) industries, with a higher than average focus on cloud. The most heavily used technology vendors are Microsoft, VMware and SAP, followed by ServiceNow, with AWS and Oracle tied at number 5. Amid the COVID-19 crisis, the global market for Technology Spending … As cloud grows, on-premises remains important. Worldwide IT spending is projected to near $4 trillion in 2019. Cloud and mobile enable rapid deployment and connectivity, while also cutting costs and complexity in legacy operations which allows businesses to focus on new digital innovation. Full demographics for the respondents are available by downloading the Flexera 2020 State of Tech Spend Report. Transportation and logistics companies are shifting quickly to IaaS/PaaS, with 100 percent planning to increase IaaS/PaaS spend and 50 percent planning significant increases. We found that most organizations plan to increase IT spend in 2020. There is a natural cohesion between the traditional technologies which continue to see growth (cloud, mobile, social and analytics) and new technologies. 5 Billion by 2027. Benchmark your IT operational spending levels by comparing them with those of organizations of similar size and industry sector. The 2020 State of Tech Spend report found that 26 percent of IT spend was controlled by business units, but that increased to 28 percent for organizations with more than 10,000 employees. Give us your email and we’ll keep you in the loop, Mergers and Acquisitions: IT can make or break, 2020 CIO Trends - CIOs Reveal Their Top Priorities, optimizing their use of software, SaaS and cloud, 5 Tips to Find Software and SaaS Savings Now (and in the Future), Cloud Computing Trends: 2020 State of the Cloud Report, Technology Spend & Other CIO Challenges During COVID, Survive Then Thrive –Driving Cost Savings While Continuing to Innovate, 2020 CIO Trends – CIOs Reveal Their Top Priorities, An Introduction to Microsoft SQL Server Licensing, Comparing Cloud Instance Pricing: AWS vs Azure vs Google vs IBM, AWS vs Azure vs Google Cloud Pricing: Compute Instances, Hundreds of products to hit EOL/EOS by the end of 2018, 2020 State of Tech Spend: IT Spending Benchmarks and Trends. The US tech budget outlook for 2020 and 2021 is getting darker, but growth will still be positive with a low risk of an actual downturn. in engineering from Duke University. Retail is leading the shift with 86 percent planning to shrink the number of data centers, followed by transportation and logistics with 82 percent decreasing data centers. Across all industries, 56 percent of organizations expected an increase in IT spend in 2020, compared to 20 percent expecting a decrease. Growth in traditional hardware, software and services will be driven by cloud and mobile and will maintain a stable share of overall business and consumer spending. Both of these industries are facing significant competition from online retailers and are focusing on a variety of technologies to help them improve digital and multi-channel customer experiences. Microsoft Ends Support for Integral Products in 2020, Microsoft SQL Server Licensing – A Deeper Look, Future of Software Packaging: Expert Answers to MSIX Questions, Expected Change in On-Prem Software Spend, Expected Change in Number of Data Centers, Top 3 Priorities for Technology Initiatives, Digital Transformation is “Top 3” by Industry. A growing share of traditional server/storage spend, for example, is now driven by workloads related to the deployment of these new technologies on the back-end; traditional software applications and system infrastructure solutions benefit from the need of organizations to leverage new technologies into cost savings or competitive benefits; and large firms will continue to engage professional services firms with the roll-out of transformative new ICT solutions. Moving forward, IDC projects that the technology industry is on pace to reach $5 trillion in 2021. 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