IDC Expects Worldwide IT Spending Growth to Slow Significantly, But Remain Positive, in 2009
12 Nov 2008
FRAMINGHAM, Mass.,
November 12, 2008 – Worldwide spending on information technology will slow
significantly in 2009 as a direct result of the global financial crisis that
began in September 2008. According to a newly revised forecast from IDC,
worldwide IT spending will grow 2.6% year over year in 2009, down from IDC's
pre-crisis forecast of 5.9% growth. In the United States, IT spending growth is
expected to be 0.9% in 2009, much lower than the 4.2% growth forecast
in August.
"Although all the economic forecasts went from up
slightly to down drastically in a matter of days, the good news is that IT is
in a better position than ever to resist the downward pull of a slowing
economy," said John Gantz, chief research officer at IDC. "Technology
is already deeply embedded in many mission-critical operations and remains
critical to achieving further efficiency and productivity gains. As a result,
IDC expects worldwide IT spending will continue to grow in 2009, albeit at a slower
pace."
On a regional basis, spending growth in Japan, Western
Europe, and the United States will hover around 1% in 2009. In contrast, the
emerging economies of Central and Eastern Europe, the Middle East and Africa,
and Latin America will continue to experience healthy growth, but at levels
notably lower than the double-digit gains previously forecast. On a sector
basis, software and services will enjoy solid growth while hardware spending,
with the exception of storage, is expected to decline in 2009.
Looking beyond 2009, IDC expects IT spending to make a full
recovery by the end of the forecast period with growth rates approaching 6.0%
in 2012. Despite these gains, IDC estimates that more than $300 billion in
industry revenues will have been lost due to slower spending over the next four
years.
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