Worldwide IT spending is projected to increase 5.5 percent to $4,643.628 billion in 2023, according to the latest forecast by Gartner.
In 2024, IT spending will grow at 8.6 percent to $5,043.805 billion, Gartner report said.
IDC’s report earlier said worldwide IT spending will increase 4.4 percent to $3.25 trillion in 2023 as tech spending remains resilient compared to historical economic downturns and other types of business spending, but rising interest rates are now impacting capital spending.
All regions worldwide are projected to have positive IT spending growth in 2023, despite continued global economic turbulence. Macroeconomic headwinds are not slowing digital transformation, said John-David Lovelock, Distinguished VP Analyst at Gartner.
Prioritization will be critical as CIOs look to optimize spend while using digital technology to transform the company’s value proposition, revenue and client interactions.
“CIOs face a balancing act that is evident in the dichotomies in IT spending. There is sufficient spending within data center markets to maintain existing on-premises data centers, but new spending has shifted to cloud options, as reflected in the growth in IT services,” John-David Lovelock said.
Spending on Data Center Systems will grow 3.7 percent to $224.123 billion in 2023 and increase at 6.1 percent to $237.790 billion in 2024.
Spending on Devices will drop 4.6 percent to $684.342 billion in 2023 and increase at 11 percent to $759.331 billion in 2024.
Spending on Software will grow 12.3 percent to $891.386 billion in 2023 and increase at 13.1 percent to $1,007.769 billion in 2024.
Spending on IT Services will grow 9.1 percent to $1,364.106 billion in 2023 and increase at 10.2 percent to $1,502.759 billion in 2024.
Spending on Communications Services will grow 3.9 percent to $1,479.671 billion in 2023 and increase at 3.8 percent to $1,536.156 billion in 2024.
