The global IT spending is projected to total $3.4 trillion in 2020, a decline of 8 per cent from 2019, impacted by the Coronavirus (Covid-19) outbreak, according to a Gartner study.
The coronavirus pandemic and effects of the global economic recession are causing chief information officers (CIOs) to prioritise spending on technology and services that are deemed “mission-critical” over initiatives aimed at growth or transformation.
All segments are likely to experience a decline in 2020, with devices and data centre systems experiencing the largest drops in spending. However, as the Covid-19 pandemic continues to spur remote working, sub segments such as public cloud services will be a bright spot in the forecast, growing 19 per cent in 2020.
Cloud-based telephony and messaging and cloud-based conferencing will also see high levels of spending growing 8.9 per cent and 24.3 per cent, respectively.