IT Operational Budgets Slowly Climbing, Says Computer Economics
November 17, 2014 Dan Burger
The IT spending calculators have been hot and cold in 2014. Spending is up compared to 2013, but overall growth is a little too flat to make everyone happy. You’ll find some folks with smiles on their faces though and some projects that needed to get done have found the road to completion. The early outlook for 2015 is once again indicating the sun will shine if you look in the right places, but overall the IT community won’t be dancing in the streets.
Some of the right places to look, according to forecasters at Computer Economics, are innovations in mobility, business intelligence, and cloud computing that organizations can easily conceptualize as IT investments with business value.
Gradual improvements, like a motorcycle jump over a single bus, barely rate a sideways glance, but that’s what Computer Economics says 2015 has in store for IT. This is anything but an era of freewheeling IT spending. The reality is this is a slow-growth environment and resources are most likely to be applied to maintaining existing infrastructure while investing in transformational technology, according to this report.
The trouble with that prediction is that existing infrastructure, for most companies, is not adequate for transformational technologies like cloud and big data. At least that’s what the report from IBM‘s Institute of Business Value has to say in its most recent report, which you can read about elsewhere in this issue of The Four Hundred under the headline If Infrastructure Matters, What About i?
Here’s the quick synopsis, along with who stands to gain the most from the research and analysis statisticians at CE:
The 3 percent increase in the median annual change in IT operational budgets in North America that CE forecasts for 2015 would top the 2.7 percent increase in 2014. In 2013, the increase was 2.5 percent. In 2012, the increase was 2.2 percent and in 2011 it was 2 percent.
The Computer Economics report is based on a survey of 128 IT organizations worldwide, including 68 IT organizations in North America.