View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
January 12, 2015

Global IT spending on pace to grow 2.4% in 2015

Global IT spending expected to hit $3.8tr, with data centre spending expected to reach $143bn.

By Amy-Jo Crowley

Total IT spending around the world will hit $3.8 trillion in 2015, representing a 2.4% growth rate from last year, according to the latest research from Gartner.

The Gartner study detailed how the growth rate is down from earlier predictions of 3.9%, driven by a strengthening US dollar and a reduction in growth expectations for devices, IT services and telecom services.

Richard Gordon, a research VP at Gartner, told CBR: "We were interested to see if there was going to be any impact as a result of the volatility in the global economy, due to oil prices and political instability, and so far there hasn’t been."

John-David Lovelock, research VP at Gartner, added: "The change in forecast is less dramatic than it might at first seem. The rising US dollar is chiefly responsible for the change — in constant currency terms the downward revision is only 0.1 per cent."

The report also found that the smartphone market is becoming polarised between the high- and low-end market price points, as the market becomes increasingly limited for midrange smartphones.

Gartner’s Richard Gordon added: "The tablet market is slowing down. We’ve got larger screen smartphones, or phablet like devices, on the one hand, and thinner, lighter more portable laptops on the other end. So within the devices space overall, we’re seeing this high-end low-end split in terms of form factor.

Meanwhile, spending on data centre systems is set to reach $143bn in 2015, a 1.8% increase from 2014, driven by an increased demand for cloud-based services.

Content from our partners
Sherif Tawfik: The Middle East and Africa are ready to lead on the climate
What to look for in a modern ERP system
How tech leaders can keep energy costs down and meet efficiency goals

"We’re not seeing any great shifts in the data centre space in terms of overall spending. But we are seeing a shift to hyperscale data centres, therefore, a shift in spending away from the enterprise towards the large service providers who build very large hyperscale data centres," Gordon added.

"It all boils down to cost at the end of the day. It costs a lot of money for companies to build and maintain their own data centre, so if they can shift that spend away from capital spending towards an operational spending model, it works from a financial model perspective and can also help to reduce costs as well."

In the telecom services market, spending is predicted to grow 0.7% in 2015 to $1.638 trillion, with spending in the enterprise software market forecast to grow 5.5% to $335bn.

Topics in this article :
Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU