IT spending is forecast to grow at 3.2 percent to $3,767 billion in 2019, according to the latest report from Gartner.
John-David Lovelock, research vice president at Gartner, said: “Despite uncertainty fueled by recession rumors, Brexit, and trade wars and tariffs, the likely scenario for IT spending in 2019 is growth.”
IT spending had reached $3,650 billion in 2018. The worldwide IT spending will reach $3,875 billion in 2020.
Data center systems market will grow at 4.2 percent in 2019 to $210 billion and 3.9 percent drop in 2020 to $202 as compared with 11.3 percent increase to $202 billion. Tech companies such as Cisco, Juniper Networks, HPE, Dell EMC will be gaining from this growth.
Enterprise software market will grow at 8.5 percent to $431 billion in 2019 and 8.2 percent to $466 billion in 2020 as against 9.3 percent growth to $397 billion. Microsoft, Salesforce, Oracle, among others, will benefit from the business software market.
The global devices market – laptops, phones, etc – will grow at 1.6 percent to $679 billion in 2019 and 1.4 percent increase to $689 billion in 2020 against 0.5 percent increase to $669 billion in 2018.
Samsung, Dell, Lenovo, HP, Apple, among others, will gain from the marginal growth in the devices market.
The worldwide IT services markets will grow at 4.7 percent to $1,030 billion in 2019 and 4.8 percent to $1,439 billion in 2020 as compared with 5.6 percent to $983 billion in 2018.
TCS, IBM, Infosys, Wipro, Accenture, Capgemini, Cognizant, Tech Mahindra, among others, will benefit from the growth in IT services market.
Communications services market will grow 1.3 percent in 2019 and 1.5 percent increase in 2020 to $1,439 billion as compared with 1.9 percent growth to $1,399 billion.
Organizations are expected to increase spending on enterprise application software in 2019, with more of the budget shifting to software as a service (SaaS).
Despite a slowdown in the mobile phone market, the devices segment is expected to grow 1.6 percent in 2019. The largest and most highly saturated smartphone markets, such as China, Unites States and Western Europe, are driven by replacement cycles.
Gartner said nearly half of the IT workforce is in need of developing skills or competencies to support their digital business initiatives. Skill requirements to keep up technology areas such as artificial intelligence (AI), machine learning, API and services platform design and data science are changing faster.