Gartner, the international research and advisory body, released the latest forecast. Driven by software and IT services revenue, global IT spending is expected to reach $3.5 trillion in 2017, up 2.9% from 2016's estimated spending of $3.4 trillion.
The software and IT services sector has become a highlight of the IT industry. Software spending is expected to grow by 6% in 2016 and will grow by 7.2% in 2017 to reach $357 billion (see Table 1). IT service spending is expected to grow by 3.9% in 2016 to reach $597 billion, and will grow by 4.8% in 2017 to reach $943 billion.
At the Gartner Symposium/ITxpo annual meeting on Thursday, Gartner analysts discussed some of the key IT issues and business issues that drive the growth of digital businesses. Participants also paid attention to what the UK will bring to IT investments after Brexit. Shock.
John But David Lovelock, vice president of research at Gartner, said: “The immediate impact of Brexit is to turn the IT spending, which was originally a slight growth in 2016, from positive to negative. If the UK is excluded, the global IT spending growth rate in 2016 would have been slightly Growth of 0.2%, but after the UK is included in the calculation, global IT spending is expected to decrease by 0.3% in 2016. With the rise in IT prices, the immediate impact of the pound will change the curve of IT spending."
Enterprises will closely observe the results of the negotiations, and IT investments will also undergo some changes. For example, in financial services, analysts predict that some European countries will increase their IT investments to provide EU countries with a more favorable option than the UK.
Lovelock points out: “We see increased spending on software and IT services in Germany and France, while the UK is relatively flat on services. Other countries, such as the Netherlands, Luxembourg and Ireland, have also increased IT spending to become UK. Opportunities for bank selection. We have also observed that many banks are negotiating with these countries about the possibility of moving their operations out of the UK."
With only three weeks left in the US presidential election, Gartner analysts believe that no matter which candidate wins the upcoming election, it will not affect the trend of IT spending.
Lovelock said: "We have also taken into account the factors that may be cut by the US presidential election and the Fed. In general, IT spending will be slightly suspended near the election period, but then it will return to normal. However, we observe the trend It shows that US IT spending is not affected by national leaders, so the two candidates will not have much impact on IT spending in the short term."
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