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ICT

Date:10/07/19

Gartner cuts global IT spending forecast to 0.6% in 2019

Worldwide IT spending is set to reach USD 3.74 trillion in 2019, up 0.6 percent from 2018, according to the latest forecast by Gartner that is nearly half its previous prediction of 1.1 percent growth. The researcher blamed recession rumours, Brexit, trade wars and tariffs for the revised figure, although it still believed that virtually all countries will see some growth this year, with North America and China posting increases of 3.7 percent and 2.8 percent respectively despite the ongoing tariff war.
 
The enterprise software market will see the strongest growth in 2019, reaching USD 457 billion, up 9 percent from USD 419 billion in 2018, as companies continuing to rebalance their technology portfolios, shifting investments from on-premises to off-premises capabilities. However, spending in old technology segments, like data centre systems, continue to fall, dropping 3.5 percent year on year to USD 203 million in 2019, said Gartner.
 
The report added that saturation and commoditisation will continue to affect PC, laptops and tablet sales, with the overall devices market experiencing the strongest decline in 2019, down 4.3 percent to USD 682 billion. Communications services are also set to dip, by 1.0 percent year on year, to USD 1.37 trillion in 2019, with global IT services spend growing by 3.8 percent 



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