Worldwide IT spending is forecast to reach $6.08 trillion in 2026, marking a 9.8 percent increase from 2025, according to the latest Gartner forecast released during the Gartner IT Symposium/Xpo 2025. The research firm attributes the surge to strong enterprise demand for AI-powered technologies, growing data center infrastructure, and rising software costs driven by the integration of Generative AI (GenAI) features.
AI and Software Drive the Next Wave of IT Investment
“The uncertainty pause that began in the second quarter of 2025 started to alleviate in the third quarter, and a significant budget flush is anticipated before the end of the year,” said John-David Lovelock, Distinguished VP Analyst at Gartner.
Lovelock explained that GenAI adoption has become a key cost driver for enterprises:
“Despite being in the trough of disillusionment in 2026, GenAI features are now ubiquitous across software already owned and operated by enterprises, and these features cost more money,” he said. “The cost of software is going up, and both the cost of features and functionality are increasing due to GenAI.”
However, not all segments will experience uniform growth. Lovelock noted that software and IT services are expanding steadily, while vertical-industry-specific software spending remains sensitive to policy changes and market uncertainty.
AI Infrastructure and Devices Fuel Growth
According to Gartner, AI-enabled devices and data center infrastructure are two of the most powerful growth engines in the IT market. Spending on devices is expected to reach $783 billion in 2025, an 8.4 percent increase over 2024, supported by strong shipments of mobile phones and PCs.
“This growth in 2025 is mainly driven by stronger-than-expected spending on mobile phones,” Lovelock added. “The availability of AI devices has boosted overall spending by more than $30 billion. However, as demand was pulled forward, 2026 will see a slightly slower growth rate.”
In the data center sector, the global race to build AI infrastructure is driving demand for AI-optimized server racks and GPUs, pushing data center system spending up 19 percent in 2026. Gartner warns, however, that supply constraints may limit server demand growth in the near term.
Segment Highlights
Software will remain the largest and fastest-growing segment, up 15.2 percent in 2026 to $1.43 trillion, as enterprises invest in GenAI integration and cloud-based applications.
IT services spending will rise 8.7 percent, reaching $1.87 trillion, as organizations continue large-scale digital transformation and automation projects.
Data center systems will see strong momentum, growing 19 percent as companies expand AI-ready infrastructure.
Device spending will moderate to 6.8 percent growth in 2026 after a surge in 2025 driven by AI smartphones and PCs.
Communications services will grow modestly at 4.5 percent, reflecting a mature market.
Key Takeaways
Global IT spending will surpass $6 trillion in 2026, marking a historic milestone.
AI technologies—both in hardware and software—are the leading growth catalyst.
Software costs are rising as enterprises adopt GenAI-powered solutions.
Data center investments continue to accelerate due to the AI infrastructure boom.
Device demand remains strong, though expected to stabilize in 2026.
Gartner’s forecast reflects a critical shift in enterprise technology priorities: organizations are moving beyond experimentation toward full-scale AI integration, infrastructure modernization, and service expansion, fueling one of the strongest growth cycles the IT industry has seen in years.
Cloud and AI Infrastructure Leaders
NVIDIA, AMD, and Intel are among the biggest beneficiaries of the data center boom, fueled by the global race to build AI-optimized infrastructure.
NVIDIA’s dominance in AI GPUs makes it the clear frontrunner as enterprises and cloud providers ramp up AI model training and inference workloads.
AMD and Intel are expected to gain from demand for AI-compatible CPUs and accelerators used in enterprise servers.
Dell Technologies, Hewlett Packard Enterprise (HPE), and Supermicro will also benefit from surging sales of AI-optimized server racks and hardware systems.
Cloud hyperscalers — Amazon Web Services (AWS), Microsoft Azure, and Google Cloud — stand to gain from rising enterprise investment in hybrid and AI-ready cloud platforms. Gartner’s forecast of a 19 percent increase in data center systems spending underscores this trend.
Software and GenAI Platform Providers
The software segment, forecast to grow 15.2 percent in 2026 to $1.43 trillion, will benefit key enterprise software vendors:
Microsoft is positioned strongly with Microsoft 365 Copilot and Azure AI, which are integrating GenAI into workplace productivity and development tools.
Salesforce, Oracle, and SAP will benefit from enterprise adoption of AI-powered CRM and ERP solutions.
Adobe continues to expand its AI-driven creative suite, leveraging tools like Firefly to attract enterprise and creator spending.
Additionally, OpenAI, Anthropic, and Cohere could see expanded enterprise partnerships as businesses embed generative AI capabilities into existing workflows.
IT Services and Consulting Firms
As IT services spending rises 8.7 percent to $1.87 trillion, demand for digital transformation, cloud migration, and AI integration will accelerate.
Accenture, Tata Consultancy Services (TCS), Infosys, Wipro, and Cognizant are well-positioned to capture large-scale consulting and implementation projects tied to GenAI and automation.
IBM and Capgemini are also expanding managed services and AI consulting offerings for global enterprises.
Device Makers and Semiconductor Companies
With devices spending projected to reach $836 billion in 2026, Apple, Samsung, and Lenovo are poised to benefit from the next wave of AI-enabled smartphones, tablets, and PCs.
Apple’s AI-driven hardware refresh and on-device intelligence features will support premium device sales.
Qualcomm and MediaTek are set to profit from the growing integration of AI chips in mobile devices and laptops.
Network and Communication Providers
Communications services spending, expected to hit $1.36 trillion in 2026, will support growth for Cisco Systems, Ericsson, Nokia, and Huawei, which are upgrading networks for AI data workloads, cloud connectivity, and 5G-driven enterprise use cases.
Rajani Baburajan
