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Gartner: World IT spending growth this year curtailed

Antony Savvas | July 4, 2013
The outlook for tablet revenue for 2013 is for growth of 38.9 percent.

Gartner: World IT spending growth this year curtailed

Total worldwide IT spending will reach $3.7 trillion in 2013, a 2 percent increase from 2012 spending of $3.6 trillion, projects analyst Gartner, but this is a reduction of the 4.1 percent increase estimated earlier this year.

Gartner said the 2.1 percentage point reduction mainly reflects the impact of recent fluctuations in US dollar exchange rates and a weaker demand for devices.

Gartner analyst Richard Gordon said: "Regionally, 2013 constant-currency spending growth in most regions has been lowered. However, Western Europe's constant-currency growth has been inched up slightly as strategic IT initiatives in the region will continue despite a poor economic outlook."

The forecast for spending on devices in 2013 has been revised down from 7.9 percent growth in Gartner's previous forecast to 2.8 percent. The decline in PC sales, recorded in the first quarter of 2013, continued into the second quarter "with little recovery expected during the second half of 2013", said the analyst.

While new devices are set to hit the market in the second half of 2013, they will fail to compensate for the underlying weakness of the traditional PC market, Gartner said.

The outlook for tablet revenue for 2013 is for growth of 38.9 percent, while mobile phone revenue is projected to increase 9.3 percent this year.

Enterprise software spending is on pace to grow 6.4 percent in 2013. Growth expectations for customer relationship management have been raised to reflect expanded coverage into the e-commerce, social networking and mobile segments.

As the Big Data market takes off data centre systems spending is expected to reach $143 billion in 2013, showing an annual 2.1 percent increase. The same segment is projected to be worth $149 billion in 2014, which would represent an annual 4.1 percent increase.

Telecom services spending is forecast to grow 0.9 per cent in 2013. Fixed broadband is showing slightly higher than anticipated growth.


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