Across the globe IT spending is expected to reach a total of $3.7tn in 2018, according to the latest forecast from Gartner.
The expected figure for next year is up 3.4% from this year’s expected spending of $3.5tn.
Enterprise software and IT services remain strong areas of growth and communications services continue to increase the majority of spending. Software spending is expected to increase by 8.5% this year and another 9.4% increase in 2018 to a total of £387bn.
In comparison IT services are expected to increase by slightly less with a 4% increase in 2017 and 5.4% increase in 2018 to reach $980bn.
For the first time in two years, the devices market is expected to grow by an increase of 5.3% by the end of this year and 5% next year. The driver for growth in this market is the increase in average product pricing for premium phones such as iPhone 8 and 10, as well as demand for PCs for businesses wanting to replace machines.
John-David Lovelock, Research Vice President at Gartner, said: “By looking at market opportunity, how profitable a market is, how big it is and how fast it is growing today and for the next five years, we have identified the top markets companies should be looking to be part of in 2018.
“Global IT spending is showing little overall growth, as are traditional markets. These top 10 markets will be the key to remaining relevant and achieving growth in the future.”
Gartner expects all IT spending segments to undergo growth in some capacity, but within the segments it predicts 10 specific markets within will make up the most amount of IT spending in 2018.
Across the 10 markets, areas range from enhancing technologies for digital workplaces, security, analytics and storage including three cloud segments. Each area aims to increase a company’s digital transformation.
By undergoing the research it allows Gartner clients understand market opportunities and threats and give them an outlook of the best markets to develop products in.
Lovelock said: “The IT buying landscape is changing: Digital business transformation is an effort to create connected, platforms and new industry revenue streams.
“Organisations not creating new digital business models or new ways to engage customers are falling behind. Those not moving quickly enough will be left behind.”