Asia Pacific enterprise IT spending is expected to rebound in 2010 with 10.6% growth, following a decline of 1.3% in 2009, according to a new report from IT research and advisory firm Gartner.
The research firm forecast Asia Pacific enterprise IT spending to reach $312.3bn in 2011, an increase of 7.6%.
During the forecast period to 2014, software will be the fastest growing segment (11.3%) in Asia Pacific, followed by hardware (10.1%), IT services (9.3%) and telecommunications (7.6%).
According to Gartner, the healthcare sector followed by utilities and education are the vertical industries that will show the strongest growth in Asia Pacific until 2014, as the effect of government stimulus spending in those areas continues to be felt.
Moreover, the weaker US dollar has boosted dollar valued growth rates in the Asia Pacific region in 2010, making the rebound appear stronger.
Gartner said emerging economies continue to be the locomotive of enterprise IT spending, substantially outpacing developed economies, and expects that by 2012 hardware spending in Asia Pacific will surpass that of North America.
Asia-Pacific though represents only 7% of the global IT services market, 16% of the contribution to market growth for 2011-2014 is expected to come from Asia Pacific.
However, in Australia, enterprise IT spending is forecast to show a modest 2% growth in 2011, after a strong 2010 and spending is forecast to be up 10.8% to $49.6bn in 2010, following a 5.3% decline in 2009.
Further, healthcare, utilities and the government sector are expected to drive highest enterprise IT spending growth in Australia to 2014.