IT spending in India likely to grow at 14 percent in 2012

IT spending in India is likely to grow at 14 percent in 2012, according to IDC.

Earlier, Gartner predicted that IT spending in India is likely to total $79.8 billion in 2012, a 9.1 percent increase from 2011 spending of $73.1 billion.

According to IDC, emerging markets such as Brazil (14 percent), Russia (11 percent), and South Africa (8 percent) will also grow significantly.

In China, where the manufacturing sector has been impacted by slowing exports to Europe, IT spending will grow by 14 percent down from 25 percent growth in 2011. PC spending will increase 7 percent after a weaker-than-expected first half down from 19 percent growth in 2011.

U.S. IT spending will grow at 5.9 percent, down from 8.5 percent last year. The launch of Windows 8 in the fourth quarter should help to drive recovery in the PC market next year.

Western Europe remains weak overall due to the slow economy.

Software growth in Northern Europe has been robust, and mobile device shipments (smartphones and tablets) have remained on course.

The recovery in Japan has lost some momentum, with IT growth in constant currency now on course for an increase of just 2 percent this year before flat lining again in 2013, according to IDC.

Worldwide IT spending is expected to grow by 6 percent in 2012 to $2.1 trillion. Total ICT spending, including telecom services, will increase by 5 percent next year to $3.8 trillion.

Strong performances in the software, storage, enterprise network, and mobile device markets has so far offset weaker trends in PCs, servers, peripherals, and telecom provider equipment. Including telecom services, total ICT spending will increase by 5 percent this year in constant currency to $3.6 trillion (representing growth of 2.5 percent in U.S. dollars).

“In spite of economic uncertainty, which continues to inhibit enterprise investment in some tech segments, the continuing demand for tablets, smartphones, storage capacity, and network performance improvements actually outperformed expectations in the first half of the year,” said Stephen Minton, vice president in IDC’s Global Technology and Industry Research Organisation.

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