Gartner raises global 2011 IT spend forecast
Research firm Gartner said global spending on technology is likely to rise 5.1% in 2011, higher than its previous estimate, as the dollar's recent weakness helped spending in 2010 top its forecast.
January 06, 2011 / 15:53 IST
Research firm Gartner said global spending on technology is likely to rise 5.1% in 2011, higher than its previous estimate, as the dollar's recent weakness helped spending in 2010 top its forecast.
It now expects total global IT spending to touch USD 3.6 trillion this year, up from its earlier forecast for a 3.5% rise. For 2010, IT spending rose 5.4% to USD 3.4 trillion, up from Gartner's estimate of 3.2%."Aided by favourable US dollar exchange rates, global IT spending growth is expected to exceed 5% in 2010, but a similar level of growth in 2011 -- while forecast -- is far from certain, given continued macroeconomic uncertainty," Richard Gordon, research vice president at Gartner, said in a note.While the global economic situation is improving, the recovery is slow and hampered by a sluggish growth outlook in the key economies of the United States and western Europe, he said.Also, there were growing concerns about the ability of key emerging economies to sustain relatively high growth rates, he added.Spending on telecom equipment is set to rise the fastest at 9.1% in 2011 to USD 465.4 bn, with telecom services spending seen rising 3.4% to USD 1.65 trillion, Garter said.The research firm forecast a 4.6% rise in IT services spending to USD 817.9 billion.The computing hardware segment, where spending is forecast to grow 7.5% to USD 391.3 billion, is likely to face challenges in growth of personal computers due to a possible weak economic growth through the first half of 2011, Gartner added. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
